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

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