Preparing a Multiple-Step Income Statement - The following data were taken from the records of Township Corporation at December 31, 2012:
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Sales revenue
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$79,000
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Gross profit
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28,000
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Selling (distribution) expense
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7,000
|
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Administrative expense
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?
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|
Pretax income
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13,000
|
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Income tax rate
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35%
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Shares of stock outstanding
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3,500
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Required:
Prepare a complete multiple-step income statement for the company (showing both gross profit and income from operations). Show all computations. ( Hint: Set up the side captions or rows starting with sales revenue and ending with earnings per share; rely on the amounts and percentages given to infer missing values.)