Question

2 M1-16 Preparing an Income Statement, Statement of Retained Earnings, and Balance Sheet [LO 1-2, LO 1- 31 [The following information applies to the questions displayed below.) Part 1 of 4 The following information was reported in the December 31, 2017, financial statements of National Airways, Inc. (listed alphabetically, amounts in millions). 4.34 points $ 4,650 580 Skipped 8,700 2,970 1,220 20 eBook Accounts Payable Accounts Receivable Aircraft Fuel Expense Cash Common Stock Dividends Equipment Income Tax Expense Interest Expense Landing Fees Expense Notes Payable Repairs and Maintenance Expense Retained Earnings (as of December 31, 2017) Salaries and Wages Expense Supplies Ticket Revenues Print References 14,370 260 130 3,100 6,950 1,200 5,780 3,280 680 17,100 M1-16 Part 1 1. Prepare an income statement for the year ended December 31, 2017. (Enter your answers in millions (i.e., 10,000,000 should be

Answer 1

Income statement is given below in the format

in millions National Airways Inc. Income Statement For the year ended December 31st, 2017 Revenues Ticket Revenue $17,100 Less: Expenses Aircraft fuel expenses $8,700 Landing fees expense $3,100 Repairs and maintenance expenses $1,200 Salaries and wages expense $3,280 Interest expense $130 Total expenses $16,410 Income before tax $690 Less: Income tax expense $260 Net Income $430