Problem: Prepare a multiple-step income statement for Coyote, Inc. from the following single-step statement. Then write a 200-300 word summary discussing the implications of profitability and net income of the company.
Net sales $1,833,000
Interest income 13,000
1,846,000
Costs and expenses:
Selling expenses 279,000
General and admin. expenses 175,000
Depreciation 14,000
Interest expense 16,000
Income tax expense 116,000
Net income $ 174,000
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XYZ Company
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Multi-Step Income Statement
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200x
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201x
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202x
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Net Sales
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Cost of Goods Sold
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Gross Profit
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0
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0
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0
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Selling and Administrative Expenses
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Advertising
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Depreciation and Amortization
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Repairs and Maintenance
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Operating Profit
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0
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0
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0
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Other Income (Expense)
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Interest Income
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Interest Expense
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Earnings Before Interest and Taxes
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0
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0
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0
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Income Taxes
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Net Earnings
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0
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0
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0
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