The financial records of Richard Co. were destroyed by fire at the end of 1999 fortunately the controller had keep certain statistical data related to the income statement as presidented below. 1-The beginning inventory was 92,000 and decreased 20% during the current year. 2- Sales discounts 16,400 3-Interest expenses was 19,500 4-The income tax rate is 30% 5-Cost of goods sold 450,000 6-Administrative expenses are 20% of cost of goods sold. 7-Gross profit was 30% of cost of goods sold. 8-Four-fifths of operating expenses relate to sales activities. Ins From the foreging information prepare income statement with ( Multiple- step form ) for the year ended in 31/12/1999.

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
icon
Related questions
Question
The financial records of Richard Co. were destroyed by fire at the end of 1999 fortunately the controller had keep certain statistical data related to the income statement as presidented below. 1-The beginning inventory was 92,000 and decreased 20% during the current year. 2- Sales discounts 16,400 3-Interest expenses was 19,500 4-The income tax rate is 30% 5-Cost of goods sold 450,000 6-Administrative expenses are 20% of cost of goods sold. 7-Gross profit was 30% of cost of goods sold. 8-Four-fifths of operating expenses relate to sales activities. Ins From the foreging information prepare income statement with ( Multiple- step form ) for the year ended in 31/12/1999.
Expert Solution
steps

Step by step

Solved in 2 steps with 1 images

Blurred answer
Knowledge Booster
Ratio Analysis
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.
Similar questions
Recommended textbooks for you
FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
Accounting
ISBN:
9781259964947
Author:
Libby
Publisher:
MCG
Accounting
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education