question archive Multi step format: Income Statement Company Name For the Time Period Ending Date Net sales - Cost of goods sold Gross profit - Operating expenses Operating profit - Interest expense Profit before taxes - Taxes Net income Net sales = Gross sales - (Returns and Allowances) Cost of goods sold = Beginning inventory + Materials purchases - Ending inventory In 2020, a hardware retail company-Home hardware sold 1,500 units of its product at an average price of 400 per unit
Multi step format: Income Statement Company Name For the Time Period Ending Date Net sales - Cost of goods sold Gross profit - Operating expenses Operating profit - Interest expense Profit before taxes - Taxes Net income Net sales = Gross sales - (Returns and Allowances) Cost of goods sold = Beginning inventory + Materials purchases - Ending inventory In 2020, a hardware retail company-Home hardware sold 1,500 units of its product at an average price of 400 per unit
Subject:BusinessPrice: Bought3
Multi step format: Income Statement Company Name For the Time Period Ending Date Net sales - Cost of goods sold Gross profit - Operating expenses Operating profit - Interest expense Profit before taxes - Taxes Net income Net sales = Gross sales - (Returns and Allowances) Cost of goods sold = Beginning inventory + Materials purchases - Ending inventory In 2020, a hardware retail company-Home hardware sold 1,500 units of its product at an average price of 400 per unit. The company reported estimated Returns and allowances in 2020 of 200,000. Home hardware purchased 1,100 units of its product from its manufacturer at an average cost of 300 per unit. Home hardware began with 900 units of its product in inventory (carried at an average cost of 300 per unit). Operating expenses for Home hardware, Inc. in 2020 were 400,000. Home hardware had 2,000,000 loan from local bank. This loan carried an average interest rate of 10 percent. Finally, Home hardware's tax rate was 40 percent. Home hardware's fiscal year runs from January 1 through December 31. 1. Given this information, construct Home hardware's 2020 multi-step income statement.
