Answer:
1. For the Year Ended December 31,2014
2. Revenues
3. Sales Revenue $96,639
4. Rent Revenue $17,230
5. Total Revenues $113869
(Sales Revenue $96,639 + Rent Revenue $17,369)
6. Expenses
7. Cost of Goods Sold $60,570
8. Selling Expenses $17,567
9. Administrative Expenses $9,138
10. Interest Expense $1,860
11. Total Expenses $89135
(Cost of Goods Sold $60,570 + Selling Expenses $17,567 + Administrative Expenses $9,138 +Interest Expense $1,860)
12. Income Before Income Tax $24,734
13. Income Tax Expense $9,070
14. Net Income/Loss $15,664
(Income Before Income Tax $24,734 - Income Tax Expense $9,070)
15. Earnings Per Share $0.38
Earnings per share = ($15,664 ÷ 40,550) = $0.38
Explanation:
Two accountants for the firm of Elwes and Wright are arguing about the merits of presenting an income statement in a multiple-step versus a single-step format. The discussion involves the following 2014 info related to P. Bride Company. ($000 omitted).
From the information given, we can arranged the values as follows into a balance sheet
1. For the Year Ended December 31,2014
2. Revenues
3. Sales Revenue $96,639
4. Rent Revenue $17,230
5. Total Revenues $113869
(Sales Revenue $96,639 + Rent Revenue $17,369)
6. Expenses
7. Cost of Goods Sold $60,570
8. Selling Expenses $17,567
9. Administrative Expenses $9,138
10. Interest Expense $1,860
11. Total Expenses $89135
(Cost of Goods Sold $60,570 + Selling Expenses $17,567 + Administrative Expenses $9,138 +Interest Expense $1,860)
12. Income Before Income Tax $24,734
13. Income Tax Expense $9,070
14. Net Income/Loss $15,664
(Income Before Income Tax $24,734 - Income Tax Expense $9,070)
15. Earnings Per Share $0.38
Earnings per share = ($15,664 ÷ 40,550) = $0.38
