Answer:
National Airways, Inc.
(amounts in millions)
NATIONAL AIRWAYS, INC.
Income Statement for the year ended December 31, 2017:
Ticket Revenues $17,100
Less Expenses:
Aircraft Fuel Expense 8,700
Landing Fees Expense 3,100
Repairs & Maintenance Expense 1,200
Salaries and Wages Expense 3,280
Interest Expense 130 16,410
Income before tax $690
Income Tax Expense 260
Net Income $430
Explanation:
a) Data:
National Airways, Inc.
(amounts in millions)
Cash $2,970
Accounts Receivable 580
Supplies 680
Equipment 14,370
Dividends 20
Aircraft Fuel Expense 8,700
Landing Fees Expense 3,100
Repairs & Maintenance Expense 1,200
Salaries and Wages Expense 3,280
Interest Expense 130
Income Tax Expense 260
Ticket Revenues $17,100
Accounts Payable 4,650
Notes Payable 6,950
Common Stock 1,220
Retained Earnings (as of December 31, 2017) 5,780
b) The National Airways' income statement shows the revenue generated by the organization and the incidental expenses that were incurred in generating the revenue and running the organization. After deducting the expenses from the revenue, the resulting figure is called the net income or loss.
