Sheridan Corporation had net sales of $2,414,200 and interest revenue of $35,800 during 2020. Expenses for 2020 were cost of goods sold $1,459,300, administrative expenses $221,600, selling expenses $284,400, and interest expense $54,200. Sheridan's tax rate is 30%. The corporation had 103,500 shares of common stock authorized and 74,490 shares issued and outstanding during 2020. Prepare a condensed multiple-step income statement for Sheridan Corporation.

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Business

Lailah Reeves

26 August, 08:21

Sheridan Corporation had net sales of $2,414,200 and interest revenue of $35,800 during 2020. Expenses for 2020 were cost of goods sold $1,459,300, administrative expenses $221,600, selling expenses $284,400, and interest expense $54,200. Sheridan's tax rate is 30%. The corporation had 103,500 shares of common stock authorized and 74,490 shares issued and outstanding during 2020. Prepare a condensed multiple-step income statement for Sheridan Corporation.

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Lizbeth Rosales · Answer 1

sales revneue 2,414,200

cost of goods sold (1,459,300)

gross profit 954,900

adimin expenses (221,600)

selling expense (284,400)

operating income: 448,900

non-operating income

interest revenue 35,800

interest expense (54,200)

(18,400)

income before taxes 430,500

tax expense (129,150)

net income 301,350

Explanation:

The interest are not part fom the company's operation this are non-operational cost and therefore must be separed.