Please do not give solution in image format thanku Novak's effective tax rate on all items is 20%. A physical inventory indicates that the ending inventory is $686,000.Prepare a condensed 2025 income statement for Novak Corporation. (Round earnings per share to 2 decimal places, e.g. 1.48.)NOVAK CORPORATIONIncome Statement10 The following are selected ledger accounts of Novak Corporation at December 31, 2025.CashInventorySales revenueUnearned sales revenuePurchasesSales discountsPurchase discountsSelling expensesAccounting and legal servicesInsurance expense (office)Advertising expenseDelivery expenseDepreciation expense (office equipment)Depreciation expense (sales equipment)$255,300738,3005,899,500161,4603,844,68046,92037,26095,22045,54033,12074,520128,34066,24049,680Salaries and wages expense (sales)Salaries and wages expense (office)Purchase returnsSales returns and allowancesFreight-inAccounts receivableSales commissionsTelephone and Internet expense (sales)Utilities expense (office)Miscellaneous office expensesRent revenueCasualty loss (before tax)Interest expenseCommon stock ($10 par)$391,920477,48020,700109,02099,360196,650114,54023,46044,16011,040331,20096,600242,520605,000

Preparation on income statement for novak corporation with necessary working note are as follows

Novak's effective tax rate on all items is 20%. A physical inventory indicates that the ending inventory is $686,000. Prepare a condensed 2025 income statement for Novak Corporation. (Round earnings per share to 2 decimal places, e.g. 1.48 NOVAK CORPORATION Income Statement

Novak's effective tax rate on all items is 20%. A physical inventory indicates that the ending inventory is $686,000. Prepare a condensed 2025 income statement for Novak Corporation. (Round earnings per share to 2 decimal places, e.g. 1.48 NOVAK CORPORATION Income Statement

Auditing: A Risk Based-Approach (MindTap Course List)

11th Edition

ISBN:9781337619455

Author:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Publisher:Karla M Johnstone, Audrey A. Gramling, Larry E. Rittenberg

Chapter5: Professional Auditing Standards And The Audit Opinion Formulation Process

Section: Chapter Questions

Problem 9RQSC: Assume that an organization asserts that it has $35 million in net accounts receivable. Describe...

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The following are selected ledger accounts of Oriole Corporation at December 31, 2025. Cash Inventory Sales revenue Unearned sales revenue Purchases Sales discounts Purchase discounts Selling expenses Accounting and legal services Insurance expense (office) Advertising expense Delivery expense Depreciation expense (office equipment) Depreciation expense (sales equipment) $236,800 684,800 5,472,000 149,760 3,566,080 43,520 34,560 88,320 42,240 30,720 69,120 119,040 61,440 46,080 Salaries and wages expense (sales) Salaries and wages expense (office) Purchase returns Sales returns and allowances Freight-in Accounts receivable Sales commissions Telephone and Internet expense (sales) Utilities expense (office) Miscellaneous office expenses Rent revenue Casualty loss (before tax) Interest expense Common stock ($10 par) $363,520 442,880 19,200 101,120 92,160 182,400 106,240 21,760 40,960 10,240 307,200 89,600 225,620 683,750 Oriole's effective tax rate on all items is 20%. A physical…
Selected financial data for Wilmington Corporation is presented below. WILMINGTON CORPORATION Balance Sheet Dec. 31, Year 7 Dec. 31, Year 6 Current Assets Cash and cash equivalents $519,159 $274,579 Marketable securities 166,106 187,064 Accounts receivable (net) 232,548 260,190 Inventories 382,044 352,022 Prepaid expenses 49,832 22,958 Other current assets 83,053 85,029 Total Current Assets 1,432,742 1,181,842 Property, plant and equipment 1,384,217 625,421 Long-term investment 568,003 425,000 Total Assets $3,384,962 $2,232,263 Current Liabilities Short-term borrowings $306,376 $170,419 Current portion of long-term debt 155,000 168,000 Accounts payable 228,700 257,631 Accrued liabilities 246,292 150,285 Income taxes payable 87,962 161,020 Total Current Liabilities 1,024,330 907,355 Long-term debt 500,000 300,000 Deferred income taxes 193,515 236,164 Total Liabilities 1,717,845 1,443,519 Common stock $425,250…
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