Case-micro chip computer corporation

Question

Problem: Micro Chip Computer Corporation

Consolidated Statements of Operations For the period September 26, 2004 through September 25, 2004

Sales                                                   $8,334.00
Cost of Sales                                        $5,458.00
Gross Margin                                        $2,876.00

Operating expenses:

R & D                                                      $525.00
Selling, General, and Administrative           $691.00
In-process R & D ---------
Restructuring costs ---------
Total Operating Exp                                $1,216.00
Operating income                                   $1,660.00
Total interest and other Income net             $194.00
Income before provision for Income taxes $1,854.00
Provision for income Taxes (15%)                $278.10
Net income                                              $1,575.90