(Condensed Income Statement-Periodic Inventory Method) Presented below are selected ledger accounts of Woods Corporation at December 31, 2012.
|
Cash
|
$ 185,000
|
Salaries and wages expense (sales)
|
$284,000
|
|
Inventory
|
535,000
|
Salaries and wages expense (Office)
|
346,000
|
|
Sales revenue
|
4,175,000
|
Purchase returns
|
15,000
|
|
Unearned revenue
|
117,000
|
Sales returns and allowances
|
79,000
|
|
Purchases
|
2,786,000
|
Transportation-in
|
72,000
|
|
Sales discounts
|
34,000
|
Accounts receivable
|
142,500
|
|
Purchase discounts
|
27,000
|
Sales commissions
|
83,000
|
|
Selling expenses
|
69,000
|
Telephone expense (sales)
|
17,000
|
|
Accounting and legal services
|
33,000
|
Utilities expense (Office)
|
32,000
|
|
Insurance expense (Office)
|
24,000
|
Miscellaneous Office expenses
|
8,000
|
|
Advertising
|
54,000
|
Rent revenue
|
240,000
|
|
Transportation-out
|
93,000
|
Extraordinary loss (before tax)
|
60,000
|
|
Depreciation expense (office equipment)
|
48,000
|
Interest expense
|
176,000
|
|
Depreciation expense (sales equipment)
|
36,000
|
Common stock ($10 par)
|
900,000
|
Woods's effective tax rate on all items is 34%. A physical inventory indicates that the ending inventory is $686,000.
Instructions
Prepare a condensed 2012 income statement for Woods Corporation.