Question

Swifty Corporation had net sales of $2,407,400 and interest revenue of $40,400 during 2020. Expenses for 2020 were cost of goods sold $1,458,700, administrative expenses $218,400, selling expenses $281,400, and interest expense $48,000. Swifty’s tax rate is 30%. The corporation had 104,200 shares of common stock authorized and 72,630 shares issued and outstanding during 2020. Prepare a condensed multiple-step income statement for Swifty Corporation.

Net Sales Cost of Goods Sold Gross Profit/(Loss) Selling Expenses Administrative Expenses Other Revenues and Gains Other Expenses and Losses Interest Expense Income Before Income Tax Income Tax Expense Net Income / (Loss)

Answer 1

Net Sales		24,07,400
Cost of Good sold		14,58,700
Gross Profit(Loss)		9,48,700
Selling Expenses	2,81,400
Administrative Exp	2,18,400
		4,99,800
Other Revenues and Gains		40,400
Other Expenses and Losses
Interest Expense		48,000
Income Before Income Tax		4,41,300
Income Tax Expenses 30% of EBIT		132390
Income After Income Tax		3,08,910