Question: The accountant of Whitney Houston Shoe Company has compiled the following data from the firm's records as a basis for an income statement for the year ended December 31, 2007.
|
Rental revenue
|
$ 29,000
|
|
Interest on notes payable
|
18,000
|
|
Market appreciation on land above cost
|
31,000
|
|
Wages and salaries-sales
|
114,800
|
|
Materials and supplies-sales
|
17,600
|
|
Income tax
|
37,400
|
|
Wages and salaries-administrative
|
135,900
|
|
Other administrative expenses
|
51,700
|
|
Cost of goods sold
|
496,000
|
|
Net sales
|
980,000
|
|
Depreciation on plant assets (70% selling, 30% administrative)
|
65,000
|
|
Cash dividends declared
|
16,000
|
There were 20,000 shares of common stock outstanding during the year.
Instructions:
Make a multiple-step income statement.