You have been presented with the following information from the books of Sanders and Company for the year ended Dec 31, 2011. Use this information to help you complete each of the steps below.
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Sales=$3,000,000
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Office Salaries=$15,000
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Rental Revenue=$85,000
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COGS=$1,500,000
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Utilities Expense=$25,000
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Dividend Revenue=$65,000
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Advertising Expense=$30,000
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Insurance Expense=$10000
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Interest on Bonds=$12,000
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Depreciation of Sales Equipment=$24,000
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Officers Salaries=28,000
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Travel and Entertainment=$29000
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Legal Fees=$32,000
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Misc Office Expense=$8,000
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Freight Out=$5000
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- Using Excel, prepare a Multi-Step and Single-Step Income Statement. Income Tax for the year is $50,000 and Common Shares=150,000
- At the bottom of one of the income statements you prepare, explain which statement you feel is the most informative for a company? Explain your reasoning.