A
Merchandise Business (Periodic) |
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A Merchandise Business
(Perpetual) |
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Income Statement |
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Income Statement |
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For the Year Ended
December 31, 20~ |
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For the Year Ended December 31, 20~ |
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Revenue |
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Revenue |
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Sales Revenue |
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$52,000 |
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Sales Revenue |
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$52,000 |
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Sales Returns |
($1,000) |
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Sales Returns |
($1,000) |
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Sales Discounts |
(400) |
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(1,400) |
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Sales Discounts |
(400) |
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(1,400) |
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Net Sales |
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$50,600 |
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Net Sales |
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50,600 |
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Less: Cost of Goods Sold |
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(34500) |
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Cost of Goods Sold |
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Gross Profit |
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$16,100 |
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Beginning Inventory |
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$25,000 |
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Operating Expenses |
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Add: Purchases |
$39,000 |
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Less: Purchase Returns and
Allowances |
(1,100) |
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Advertising Expense |
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$1,100 |
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Less: Purchase Discounts |
(200) |
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Amortization Expense - Furniture |
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1,400 |
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Net Purchases |
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37,700 |
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Amortization Expense - Equipment |
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2,700 |
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Add: Frieght-in |
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800 |
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Amortization Expense - Truck |
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120 |
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Goods Available for Sale |
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63,500 |
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Bad Debt Expense |
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110 |
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Less: Ending Inventory |
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(29,000) |
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Car Expense |
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300 |
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Cost of Goods Sold |
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34,500 |
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Frieght-out |
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400 |
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Gross Profit |
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$16,100 |
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Frieght-out |
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400 |
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Insurance Expense |
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700 |
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Operating Expenses |
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Maintenance Expense |
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2,000 |
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Miscellaneous Expense |
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200 |
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Advertising Expense |
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$1,100 |
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Rent Expense |
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350 |
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Amortization Expense -
Furniture |
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1,400 |
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Supplies Expense |
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200 |
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Amortization Expense -
Equipment |
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2,700 |
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Utilities Expense |
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2,550 |
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Amortization Expense - Truck |
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120 |
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Total Operating Expenses |
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$12,130 |
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Bad Debt Expense |
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110 |
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Car Expense |
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300 |
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Operating Income (Income before Interest, Taxes and Extraordinary Items) |
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$3,970 |
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Frieght-out |
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400 |
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Insurance Expense |
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700 |
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Interest Expense |
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($950) |
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Maintenance Expense |
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2,000 |
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Loss on Sale of Assets |
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(4,000) |
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Miscellaneous Expense |
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200 |
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Total Non-Operating Expenses |
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(4,950) |
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Rent Expense |
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350 |
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Supplies Expense |
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200 |
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Net Income |
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($980) |
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Utilities Expense |
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2,550 |
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Total Operating Expenses |
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$12,130 |
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Operating
Income (Income before Interest, Taxes and Extraordinary
Items) |
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$3,970 |
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Interest Expense |
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($950) |
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Loss on Sale of Assets |
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(4,000) |
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Total Non-Operating Expenses |
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(4,950) |
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Net Income |
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($980) |
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