Wayman Corporation reports the following amounts in its December 31, 2021, income statement.

Sales revenue $ 460,000

Income tax expense $ 60,000

Interest expense 30,000

Cost of goods sold 140,000

Salaries expense 50,000

Advertising expense 40,000

Utilities expense 60,000

Required:

1. Prepare a multiple-step income statement.

Wayman Corporation

Income Statement for the year ended December 31, 2021

Sales Revenue $460,000

Cost of Goods Sold ($140,000)

Gross Profit $320,000

Operating Expenses

Advertising Expense $40,000

Salaries Expense $50,000

Utilities Expense $60,000

Total operating expense ($150,000)

Operating Income $170,000

Interest Expense ($30,000)

EBT $140,000

Income tax expense ($60,000)

Net Income $80,000