Assume that you are the president of Highlight Construction Company. At the end of the first year of operations (December 31), the following financial data for the company are available:

Cash$24,800Receivables from customers (all considered collectible)11,800Inventory of merchandise (based on physical count and priced at cost)74,000Equipment owned, at cost less used portion40,700Accounts payable owed to suppliers47,640Salary payable (on December 31, this was owed to an employee who will be paid on January 10)2,100Total sales revenue134,000Expenses, including the cost of the merchandise sold (excluding income taxes)85,200Income tax expense at 30% pretax income; all paid during the current year? Common stock (December 31)77,800Dividends declared and paid during the current year10,400

(Note: The beginning balances in Common stock and Retained earnings are zero because it is the first year of operations.)

Required:

1.Prepare a summarized income statement for the year.