Chapter 13, Problem 17E

To determine

Net Sales:

After deduction of damaged goods and any kind of return from total sales, what we get is net sales for a particular company.

Cost of Goods Sold:

Cost incorporated which relates to the production of goods sold in the company is known as cost of goods sold.

Income Tax Expense:

An expense related to the payment of taxes levied by the government is known as income tax expense.

Depreciation:

It is a charge on any asset due to wear and tear or usage of it for a particular period of time.

To prepare: Appropriate sections for each given income related items from the income statement of R Company year ended 2017.