Question

Exercise 5-8 (Part Level Submission) In its income statement for the year ended December 31, 2017, Cullumber Company reported the following condensed data. Salaries and wages Loss on disposal of plant $ 187,875 $1,046,250 assets expenses Sales revenue Cost of goods sold 2,220,750 4,972,500 Interest expense Income tax expense 159,750 56,250 Interest revenue 146,250 Sales discounts 360,000 Depreciation expense Utilities expense 247,500 697,500 (a) Prepare a multiple-step income statement. (List other revenues before other expenses.) CULLUMBER COMPANY Income Statement Open Show Work Click if you would like to Show Work for this question:

Answer 1

$ 4,612,500 $ 2,220,750 $ 2.391.750 CULLUMBER COMPANY Income Statement For the Year Ended December 31, 2017 Sales revenue Sales revenue $ 4,972,500 Less: Sales Discounts S 360,000 Net Sales Cost of Goods sold Gross Profit Operating expenses Salaries and Wages Expenses $ 1,046,250 Depreciation Expenses $ 697,500 Utilities Expenses $ 247,500 Total Operating Expenses Operating Income Other Income Interest Revenue Other Expenses Interest expenses $ 159,750 Loss on Disposal of plant assets $ 187,875 Total other income(expense), net Income before Income taxes Income tax expense Net Income $ $ 1,991,250 400,500 $ 146,250 $ $ $ $ 347,625 199,125 56,250 142,875