Question

In Dart Co.'s year two single-step Income Statement, as prepared by Dart's controller, the section titled "Revenues" consisted of the following: Sales $250,000 Purchase discounts 3,000 Recovery of accounts written off 10,000 Total revenues $263,000 In its year two single-step Income Statement, what amount should Dart report as total revenues?

Answer 1

Answer:

$250,000

Explanation:

As we know that the income statement reports the total revenues earned and the total expenses incurred. The total revenues should be presented on the income statement on the credit side while the total expenses should be presented on the income statement on the debit side.  

In the given case, the sales are made for $250,000 and the other amount that is given is not related to the revenue  

So, only $250,000 should be reported as a total revenues