Answer:
Net Income <u> 195,300</u>
Explanation:
The question is to prepare a multi-step income statement
Splish Brothres Corp
Income Statement for the year ended December 31, 2022
Particulars/Description Amount ($) Amount ($)
Sales Calculation
Sales Revenue 747,000
Subtract:
Sales Returns 9,000
Sales discounts 3,200 (12,200)
Net Sales 734,800
Cost of Goods sold (283,000)
Gross Profit 451,800
Operating Expenses (210,000)
Operational Income 241,800
Other gains and revenue 21,800
Other Expenses and losses (3,200) 18,600
Income before Income Taxes 260,400
Income tax expense (25% x 260,400) <u> (65,100)</u>
Net Income <u> 195,300</u>
