An analysis of the transactions of Rutherford Company for the year ended December 31 yields the following information sales revenue, $65,000 insurance expense, $4,300 interest income, $3,900 cost of goods sold, $28,800 salaries expense, $22,500 income taxes expense, $2,400 and loss on disposal of property, plant, and equipment, $1,200 Required Prepare a multiple step income statement Cash Insurance expense Interest income Loss on disposal of property, plant, and equipment Sales revenue $ Select Cost of goods sold Loss on disposal of property, plant, and equipment Interest expense Interest income Insurance expense Select Gross loss Gross margin Interest income Net income Net loss $ Select Operating expenses Accounts receivable Cash Interest income Salaries expense Sales revenue $ Select Accounts receivable Cost of goods sold Insurance expense Interest income Sales revenue Select Total operating expenses Income from Operations $ Other income and expenses Accounts receivable Cash Interest income Salaries expense Sales revenue $ Select Accounts receivable Cost of goods sold Insurance expense Loss on disposal of property, plant, and equipment Sales revenue Select Total other income and expenses Income before income taxes $ Accounts receivable Cash Interest income Income taxes expense Sales revenue Select Accounts receivable Cash Net income Net loss Retained earnings $ Select

The Answer is in the image, click to view ...

Answered step by step

Verified Expert Solution

Link Copied!

Question

1 Approved Answer

Posted on Sep 13, 2024

An analysis of the transactions of Rutherford Company for the year ended December 31 yields the following information: sales revenue, $65,000; insurance expense, $4,300; interest

An analysis of the transactions of Rutherford Company for the year ended December 31 yields the following information: sales revenue, $65,000; insurance expense, $4,300; interest income, $3,900; cost of goods sold, $28,800; salaries expense, $22,500; income taxes expense, $2,400; and loss on disposal of property, plant, and equipment, $1,200.

Required:

Prepare a multiple-step income statement.

Cash/Insurance expense/Interest income/Loss on disposal of property, plant, and equipment/Sales revenue	$- Select -
Cost of goods sold/Loss on disposal of property, plant, and equipment/Interest expense/Interest income/Insurance expense	- Select -
Gross loss/Gross margin/Interest income/Net income/Net loss		$- Select -
Operating expenses
Accounts receivable/Cash/Interest income/Salaries expense/Sales revenue	$- Select -
Accounts receivable/Cost of goods sold/Insurance expense/Interest income/Sales revenue	- Select -
Total operating expenses		____
Income from Operations		$____
Other income and expenses:
Accounts receivable/Cash/Interest income/Salaries expense/Sales revenue	$- Select -
Accounts receivable/Cost of goods sold/Insurance expense/Loss on disposal of property, plant, and equipment/Sales revenue	- Select -
Total other income and expenses		_____
Income before income taxes		$ _____
Accounts receivable/Cash/Interest income/Income taxes expense/Sales revenue		- Select -
Accounts receivable/Cash/Net income/Net loss/Retained earnings		$- Select -