Assignment 2 Title: Income Statement Problem

Based on the following information:

Sales

$875,000

Sales Allowances

$25,000

Cost of Sales

$276,250

Labor Cost

$51,000

Operating Costs

$395,250

Income Taxes

$42,500

Determine:

Net sales; sales allowances percentage; cost of sales percentage; gross profit; gross profit percentage; mark up percentage; operating cost percentage; operating profit; net profit; net profit percentage

Based on the following information:

Rooms

Foods

Beverages

Sales revenue

$250,000

$120,000

$80,000

Cost of sales

$50,000

$36,000

$13,600

Labor Cost

$62,500

$30,000

$19,200

Operating Expenses

$87,500

$41,400

$22,800