Question

In its income statement for the year ended December 31, 2020, Sheffield Company reported the following condensed data.

Operating expenses		$768,510		Interest revenue		$28,430
Cost of goods sold		1,296,900		Loss on disposal of plant assets		16,140
Interest expense		71,980		Net sales		2,407,700
				Other comprehensive loss		9,000

Exercise 5-10 a-c (Part Level Submission) (Video) In its income statement for the year ended December 31, 2020, Sheffield Company reported the following condensed data. Operating expenses Cost of goods sold Interest expense $768,510 1,296,900 71,980 Interest revenue Loss on disposal of plant assets Net sales Other comprehensive loss $28,430 16,140 2,407,700 9,000

Answer 1

Answer
INCOME STATEMENT
	For the Year Ended December 31, 2020
	Particulars	Amount	Amount
	Net Sales		$      2,407,700
	Less: Cost of goods sold		$      1,296,900
	Gross profit		$      1,110,800
	Less: Operating expenses		$         768,510
	Operating income (EBIT)		$         342,290
	Other income (expenses)
	Add: Interest revenue	$     28,430
	Less: Interest expenses	-$     71,980
	Less: Loss on disposal of plant assets	-$     16,140	-$          59,690
	Income before taxes		$         282,600
	Less: Income tax		$                  -
	Net income		$         282,600
Assumption : multiple step income statement ( Question does not specify )