Question

ACT6-121-AA-Frx Esam 2-thaper -10 newconnect.mheducation.com/ow/connecthtm Saved am 2-(chapter 6"10) The following is a listing of all of the income statement accounts for Mulberry Street Sportswear as they appear on the adjusted trial balance as of December 31 2 S10,00 87,100 4,300h 1,300 7,760 10,600 1,200 161,700 30,100 17, Advertising Expense Cest of Goods Sold Delivery Expense Insurance Expense o3525 Income Tax Expense Rent Expense Interest Expense Sales Revenue Sales Discounts Sales Returns & A1lowances Required a. Prepare a multistep income statement b. Compute the gross profit percentage Complete this question by entering your answers in the tabs below Required A Required B Prepare a multistep income statement. Mulberry Street Sportswear Income Statement At December 31 2 of 5 <Prev Next > search DELL

Answer 1

The answer for the above problem is

Income Statement Amt ($) Amount 1,611700 Sales less: Sales Returns 17,300 → Sales Discounts 101100 27400 Netsale Revenue 1,34,000 87100 47200 less cost of Goods sold Gross Profit Operating Expenses Advertisment Expenses Delivery Expenses Rent Expenses 10,400 4,300 10/600 (25300) Operating income 21900 Other 1, 300 Incomes & fapenses Insurance Expenses Income tax expense Interest expenses 7760 1200 (18260) Net Income - 1,640

7 Calculation of gross profit nescentage Gross profit percentage = Gross Profit x100 Total sales = 47200 ($) x100 161700 ($) 3 99%