Earnings per Share and Multiple-Step Income StatementThe following summarized data relate to Bowden Corporation’s current operations: Sales revenue $745,000 Cost of goods sold 450,000 Selling expenses 58,000 Administrative expenses 72,000 Loss on sale of equipment 5,000 Income tax expense 64,000 Shares of common stock Outstanding at January 1 15,000 shares Additional issued at May 1 7,000 shares Additional issued at November 1 2,000 shares RequiredPrepare a multiple-step income statement for Bowden Corporation for the year. Include earnings per share disclosure at the bottom of the income statement. Do not use negative signs with any of your answers below. BOWDEN CORPORATIONIncome StatementFor the Year Ended December 31 Sales Revenue Answer Cost of Goods Sold Answer Gross Profit on Sales Answer Selling Expenses Answer Administrative Expenses Answer Answer Operating Income Answer Loss on Sale of Equipment Answer Income before Taxes Answer Income Tax Expense Answer Net Income Answer Earnings per share of Common Stock Answer
Earnings per Share and Multiple-Step Income StatementThe following summarized data relate to Bowden Corporation’s current operations: Sales revenue $745,000 Cost of goods sold 450,000 Selling expenses 58,000 Administrative expenses 72,000 Loss on sale of equipment 5,000 Income tax expense 64,000 Shares of common stock Outstanding at January 1 15,000 shares Additional issued at May 1 7,000 shares Additional issued at November 1 2,000 shares RequiredPrepare a multiple-step income statement for Bowden Corporation for the year. Include earnings per share disclosure at the bottom of the income statement. Do not use negative signs with any of your answers below. BOWDEN CORPORATIONIncome StatementFor the Year Ended December 31 Sales Revenue Answer Cost of Goods Sold Answer Gross Profit on Sales Answer Selling Expenses Answer Administrative Expenses Answer Answer Operating Income Answer Loss on Sale of Equipment Answer Income before Taxes Answer Income Tax Expense Answer Net Income Answer Earnings per share of Common Stock Answer
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Earnings per Share and Multiple-Step Income Statement
The following summarized data relate to Bowden Corporation’s current operations:
| Sales revenue | $745,000 | |
| Cost of goods sold | 450,000 | |
| Selling expenses | 58,000 | |
| Administrative expenses | 72,000 | |
| Loss on sale of equipment | 5,000 | |
| Income tax expense | 64,000 | |
| Shares of common stock | ||
| Outstanding at January 1 | 15,000 | shares |
| Additional issued at May 1 | 7,000 | shares |
| Additional issued at November 1 | 2,000 | shares |
Required
Prepare a multiple-step income statement for Bowden Corporation for the year. Include earnings per share disclosure at the bottom of the income statement.
Do not use negative signs with any of your answers below.
| BOWDEN CORPORATION Income Statement For the Year Ended December 31 |
||
|---|---|---|
| Sales Revenue | Answer
|
|
| Cost of Goods Sold | Answer
|
|
| Gross Profit on Sales | Answer
|
|
| Selling Expenses | Answer
|
|
| Administrative Expenses | Answer
|
Answer
|
| Operating Income | Answer
|
|
| Loss on Sale of Equipment | Answer
|
|
| Income before Taxes | Answer
|
|
| Income Tax Expense | Answer
|
|
| Net Income | Answer
|
|
| Earnings per share of Common Stock | Answer
|
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