Question

Wayman Corporation reports the following amounts in its December 31, 2021, income statement. Sales revenue $ 411,000 Income tax expense $ 53,000 Interest expense 23,000 Cost of goods sold 133,000 Salaries expense 43,000 Advertising expense 33,000 Utilities expense 53,000 Required: Prepare a multiple-step income statement.

Answer 1

Answer:

Explanation:

In the income statement, the total revenues and the total expenses are recorded.  

If the total revenues are more than the total expenditure then the company earns net income

And, If the total revenues are less than the total expenditure then the company have a net loss

This net income or net loss would reflect in the statement of the retained earning account.  

The preparation of the income statement is presented in the spreadsheet. Kindly find the attachment below: