Question

Suppose Dansko Integrated has the following revenue and expenses for 2019:

Revenues of $8,500,000
Cost of Goods Sold of $2,550,000
Depreciation Expenses of $800,000
Income Taxes of $1,144,000
Interest Expenses of $90,000
Other Expenses of $500,000
Sales, General, & Administrative Expenses of $1,700,000

Create an income statement with amounts in thousands

What is the value of Gross Income?

Please specify your answer in the same units as the income statement.

Answer 1

Suppose Dansko

Income Statement

For the year ended December 2019. (Amounts in thousands)

Revenues	$8,500
Cost of Goods Sold	2,550
Gross Income	5,950
Depreciation Expenses	800
Sales, General, & Administrative Expenses	1,700
Other Expenses	500
Earning Before Interest and Taxes	2,950
Interest Expenses	90
Earnings Before Taxes	2,860
Income Tax Expenses	1,144
Net Income	$1,716

Value of Gross Income = Revenues - Cost of Goods Sold = $8,500 - $2,550 = $5,950