Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. ul lhe year ended december 31, 2017 revenues net s

Ul LHe Year Ended December 31, 2017 Revenues Net sales Other revenues Cost of goods...

70.2K

Verified Solution

Question

Accounting

image

Ul LHe Year Ended December 31, 2017 Revenues Net sales Other revenues Cost of goods sold Gross profit Operating expenses Selling expenses Administrative expenses 850,000 872,000 317,000 109,000 Net earnings $105,000 As an experienced, knowledgeable accountant, you review the statement and determine the following facts: 1. Net sales consist of: sales 5911,000, less freight-out on merchandise sold $33,000, and sales returns and allowances $28,000 2. Other revenues consist of sales discounts $18,000 and rent revenue $4,000 3. Selling expenses consist of salespersons' salaries $80,000, depreciation on equipment $10,000, advertising $13,000, and sales commissions $6,000. The commissions represent commissions paid. At December 21, $3,000 of commissions have been earned by salespersons but have not been paid. All compensation should be recorded as Salaries and Wages Expense. 4. Administrative expenses consist of office salaries $47,000, dividends $18,000, utilities $12,000, interest expense $2,000, and rent expense $24,000, which includes prepayments totaling S6,000 for the first quarter of 2018 Prepare a detailed multi-step income statement. Assume a 25% tax rate. crdsheet and suhmit with vour exnlanation No APA paper is

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students