Answer:
2022 Income Statement
$ 2,392,000 Sales
-$ 8,100 Sales Discounts
-$ 36,000 Sales returns and allowances
$ 2,347,900 Net Sales Revenues
-$ 117,000 Depreciation expense
-$ 1,077,000 Cost of goods sold
-$ 1,194,000 Cost of goods sold
$ 1,153,900 Gross PROFIT
-$ 47,000 Advertising expense
-$ 667,000 Salaries and Wages Expenses
-$ 17,000 Freight out expenses
-$ 731,000 Operating Expenses
$ 422,900 INCOME FROM OPERATIONS
$ 24,000 Rent Revenue
$ 25,000 Interest Revenue
$ 49,000 Other Revenues and Gains:
-$ 62,000 Interest Expenses
-$ 15,000 Insurance Expenses
-$ 77,000 Other expenses and Loss
$ 394,900 NET INCOME AFTER TAXES
-$ 62,000 Income Tax Expenses
$ 332,900 Net INCOME
Explanation:
In the multistep income it's possible to segregate the operative expenses and revenues of the non operative, it also shows the gross profit, which is
the Net Sales Revenues less the Cost of Goods Sold.
First it's shown the Gross Profit, then substracted the operating expenses
to arrive at operating income.
Finally with the non operating movements we have the net Income After Taxes and with the taxes expenses we have the Net Income of the company.
