The following is a partial trial balance for General Lighting Corporation as of December 31, 2018: Account...

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Accounting

The following is a partial trial balance for General LightingCorporation as of December 31, 2018:
Account Title Debits Credits
Sales revenue 2,500,000
Interest revenue 83,000
Loss on sale of investments 24,000
Cost of goods sold 1,220,000
Loss from write-down of inventory due to obsolescence 230,000
Selling expenses 330,000
General and administrative expenses 165,000
Interest expense 82,000

200,000 shares of common stock were outstanding throughout 2018.Income tax expense has not yet been recorded. The income tax rateis 40%.

Required:
1. Prepare a single-step income statement for2018, including EPS disclosures.
2. Prepare a multiple-step income statement for2018, including EPS disclosures.

Answer & Explanation Solved by verified expert

4.3 Ratings (764 Votes)

Single step income statement Sales revenue 2500000 Interest revenue 83000 Total revenue i 2583000 Expenses Loss on sale of investments 24000 Cost of goods sold 1220000 Loss from writedown of inventory due to obsolescence See Answer

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Account Title	Debits	Credits
Sales revenue		2,500,000
Interest revenue		83,000
Loss on sale of investments	24,000
Cost of goods sold	1,220,000
Loss from write-down of inventory due to obsolescence	230,000
Selling expenses	330,000
General and administrative expenses	165,000
Interest expense	82,000