Question

In its income statement for the year ended December 31, 2022, Pina Colada Corp. reported the following condensed data. Operating expenses $ 723,000 Interest revenue $ 36,000 Cost of goods sold 1,259,000 Loss on disposal of plant assets 20,000 Interest expense 74,000 Net sales 2,202,000 Income tax expense 49,000 Other comprehensive income (net of $1,200 tax) 8,600Prepare a multiple-step income statement. Concord Corporation Income Statement

Answer 1

Answer:

PINA COLADA CORPORATION

MULTIPLE-STEPS INCOME STATEMENT

Net Sales                                           $2,202,000

Cost of goods sold                           (1,259,000)

Gross profit                                          943,000

operating expenses                          (723,000)

Operating Income                               220,000

Non- operating

Interest Revenue                                     36,000

Loss on disposal of plant asset              (20,000)

Interest expenses                                    (74,000)

other comprehensive income                 86,000

                                                                    28,000

Net income before tax                              248,000

Income tax                                                 (49,000)

Net Income After tax                                 199,000

Explanation: