Puzzles, Pranks & Games is a retail business selling children's toys and games as well as a wide selection of jigsaw puzzles and accessories. They purchase their inventory from local and national wholesale suppliers. For the year ending December 31, 2017, they reported these revenues and expenses. Using this information, prepare an income statement for Puzzles, Pranks & Games for 2017. Sales revenue Rent Advertising Sales staff salaries Cost of goods sold Utilities Supplies $415,000 24,000 13,000 45,000 210,000 11,000 4,000 Use the Income Statement you created to answer the following questions: A. What is the amount of gross profit? B. What is the total operating expense? C. What is the amoutn of net income?

Puzzles, Pranks & Games is a retail business selling children's toys and games as well as a wide selection of jigsaw puzzles and accessories. They purchase their inventory from local and national wholesale suppliers. For the year ending December 31, 2017, they reported these revenues and expenses. Using this information, prepare an income statement for Puzzles, Pranks & Games for 2017. Sales revenue Rent Advertising Sales staff salaries Cost of goods sold Utilities Supplies $415,000 24,000 13,000 45,000 210,000 11,000 4,000 Use the Income Statement you created to answer the following questions: A. What is the amount of gross profit? B. What is the total operating expense? C. What is the amoutn of net income?

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Need Help with this Question
The following information is taken from the financial statements of Down Home Deli for the last three years. The owner, John Walton is quite pleased to see that his sales are growing steadily. 2018 2017 2016 Sales $ 61,500 $ 50,400 $ 42,000 Cost of goods sold 27,670 21,170 16,800 Operating income 7,530 6,050 4,620 Net income 3,075 4,030 2,940 Instructions: (a) Calculate gross profit margin, profit margin, and profit margin using operating income. (b) Comment on whether the Deli is, in fact, doing better over the three years as John believes.
Help
On January 1, 2013, Gwen Harvey sells picture frames, crafts & art. On following: opened Silly Sales, a small retail store that June 30, 2014, her accounting records show the Store Rent $7,000 Sales Revenue $90,000 Sales Salaries $4,500 Store Utilities $1,950 Freight in $600 Purchase of Merchandise $36,000 Inventory on June 30th 2014 $9,600 Inventory on January 1, 2014 $12,000 Advertising Expense $2,300 a) Prepare an income statement for Silly Sales, a merchandiser, for the period ended June 30, 2014.
PostNews.com offers its subscribers severalservices, such as an annotated TV guide and local-area information on weather, restaurants, and movietheaters. Its main revenue sources are fees for banner advertisements and fees from subscribers. Recentdata are as pictures
Mower-Blower Sales Co. started business on January 20, 2016. Products sold were snow blowers and lawn mowers. Each product sold for $1,400. Purchases during 2016 were as follows: Blowers Mowers January 21 20@$800 February 3 40 @780 February 28 30760 March 13 20 @ 760 April 6 20@$840 May 22 40860 June 3 40 @880 June 20 60920 August 15 20860 September 20 20840 November 7 20@800 The December 31, 2016 inventory included 10 blowers and 25 mowers. Assume the company uses a periodic inventory system. Required: Compute ending inventory valuation at December 31, 2016 under: a) FIFO b) LIFO (Hint: Compute ending inventory under each method, and then compare results.)
Thank you.
Magio Company manufactures kitchen equipment used in hospitals. They distribute their products directly to the customer and, for the year ending 2019, they reported these revenues and expenses. Use this information to calculate the gross profit for the year 2019. Magio Company data Revenue and Expenses Sales revenue Cost of Goods Sold Operating expenses Amount $864,183 $496,357 $196,815
You are provided with the Financial Statements of Commercial Hospitality Traders for the year ended 30 June 2017. Analyse the statements and provide advice to the owners. Commercial Hospitality Traders Income Statement For the year ended 30 June 2017 $ $ $ Sales 178,000 Less Cost of Goods Sold 95,000 83,000 Less Inventory adjustment 230 Gross Profit 82,770 Add other revenue Rent Received 15,600 Gain on disposal of furniture 290 98,660 Less Other Operating Expenses SELLING AND DISTRIBUTION Advertising 2,600 Sales commission expense 1,340 Sales salaries 26,000 Delivery expenses 1,240 Depreciation - delivery vehicles 3,200 Depreciation - shop fittings 1,520 35,900 GENERAL AND ADMINISTRATIVE Rates 1,200 Wages…
Just Beachy is a retail business located on the coast of Florida where it sells a variety of beach apparel, T-shirts, and beach-related souvenir items. They purchase all of their inventory from wholesalers and distributors. For the year ending December 31, 2017, they reported the following revenues and expenses. Sales revenue $665,000 Building rent 46,000 Advertising 52,000 Sales staff salaries 83,000 Cost of goods sold 305,000 Utilities 25,000 Supplies. 9,000 Using this information, prepare an income statement for Just Beachy for 2017. Just Beachy Income Statement "For Year Ending 2017 Previous Next
Blue Jay Way Travel Agency is a profit centre within a large tourism company. The following is the financial information for the agency for 2015 and 2016. Review the table and answer the related questions. 2016 2015 Tour Revenue $600,000 $700,000 Distributed Operating Expenses Payroll and Related Expenses $157,000 $250,000 Booking Fees $43,000 $50,000 A) Calculate the departmental income and departmental income margin for 2015 and 2016. Round to two decimal places. b) Comment on the change in departmental income and departmental income margin from 2015 to 2016. C) Calculate booking fees as a percentage of tour revenue for 2015 and 2016 and comment on the change, if any. In addition, calculate labour cost margin for 2015 and 2016 and comment on the change, if any. Use this information to give a possible reason for the change in departmental income margin from 2015 to 2016.