Chapter 6, Problem 6.13ME

Preparing a Multistep Income Statement

Sellall Department Stores reported the following amounts in its adjusted trial balance prepared as of its December 31 year-end: Administrative Expenses, $2400; Cost of Goods Sold, $22,728: Income Tax Expense, $3,000: Interest Expense, $1,600; Interest Revenue, $200: General Expenses. $2,600; Sales Revenue, $42,000; Sales Discounts, $2,200; Sales Returns and Allowances, $1,920; and Delivery (freight-out) Expense, $300; Prepare a multistep income statement for distribution to external financial statement users, using a format similar to Exhibit 6.9.