Question

The current​ year's statement of net income for Tupper TreatsTupper Treats​, Inc. is presented below in a​ single-step format.

Requirement

Prepare a​ condensed, multiple-step statement of net income for

Tupper Treats Inc. that includes all supporting schedules.

Prepare Tupper Treats condensed, multiple-step income statement. Supporting disclosures will be completed in the next step. ​(List the subheadings in the order they are typically shown on a​multiple-step income statement. Round all amounts to the nearest whole dollar. Use parentheses or a minus sign to enter other​expenses.

Tupper Treats, Inc. Income Statement For the Year Ended December 31

Revenues and Gains

Sales

$890,000

Interest Income

425

Dividend Income

920

Gain on Sale of Investment Securities

4,500

Unrealized Gain on Trading Securities

7,200

Total Revenues and Gains

$903,045

Expenses and Losses

Cost of Goods Sold

$61,000

Selling Expenses

50,000

Sales Salaries Expense

32,000

Advertising Expense

20,000

Depreciation Expense-General

2,900

Amortization Expense-General

1,600

Office Salaries Expense

31,000

Office Supplies Expense

41,000

Loss on Asset Impairment

4,600

Legal Fees-General

2,500

Accounting Fees-General

5,500

Interest Expense

6,400

Income Tax Expense at 45%*

290,045

Total Expenses and Losses

(548,545)

Income from Continuing Operations

$354,500

Gain on Discontinued Operations-net of tax

3,025

Net Income

$357,525

*45% x ($903,045-$258,500) = 45% x $644,545 = $290,045

Prepare

Tupper Treats'Tupper Treats'

​condensed, multiple-step income statement. Supporting disclosures will be completed in the next step. ​(List the subheadings in the order they are typically shown on a​ multiple-step income statement. Round all amounts to the nearest whole dollar. Use parentheses or a minus sign to enter other​ expenses.)

Tupper Treats, Inc. Statement of Net Income For the Year Ended December 31 Less Net Income

Answer 1

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Due to character limit I am attaching the image. Tupper Treats, Inc. Multi Step Income Statement for the year ended December 31. Particulars Amount $ Amount $ Sales Revenue 890,000.00 Less: returns and allowances Net Sales 890,000.00 Cost of goods sold 61,000.00 Gross Profit 829,000.00 Selling expense 50,000.00 Sales Salaries Expense 32,000.00 Advertising Expense 20,000.00 Depreciation Expense- General 2,900.00 Amortization Expense- General 1,600.00 Office Salaries Expense 31,000.00 Office Supplies Expense 41,000.00 Legal Fees- General 2,500.00 Accounting Fees- General 5,500.00 Operating Expense 186,500.00 Operating Income 642,500.00 Interest Income 425.00 Dividend Income 920.00 Gain on sale of investment securities 4,500.00 Unrealized Gain on trading securities 7,200.00 Loss on asset impairment (4,600.00) Interest expense (6,400.00) Other expense and income 2,045.00 Income before tax 644,545.00 Tax expense 290,045.00 Net Income from continuing operations 354,500.00 Gain on Discontinued Operations-net of tax 3,025.00 Net Income 357,525.00