BonneaulCompany BonneaulCompany

Income Statement Income Statement

For the Year Ended December $31,2018$ For the Year Ended December $31,2018$

Sales Revenue $$3,000,000$ Sales Revenue $$3,000,000$

Cost of Goods Sold $(1,400,000)$ Cost of Goods Sold $(1,400,000)$

Gross Profit $$1,600,000$ Gross Profit $$1,600,000$

Operating Expenses: Operating Expenses:

Depreciation Exp $$100,000$ Depreciation Exp $$100,000$

Other Op$.$ Exp $950,000$ Other Op$.$ Exp $950,000$

Total Op Exp $(1,050,000)$ Total Op Exp $(1,050,000)$

Operating Income $$550,000$ Operating Income $$550,000$

Other Rev & Exp: Other Rev & Exp:

Gain on Sale of Invesments $$75,000$ Gain on Sale of Invesments $$75,000$

Total Other Rev & Exp: $75,000$ Total Other Rev & Exp: $75,000$

Income before Income Tax $$625,000$ Income before Income Tax $$625,000$

Income Tax $125,000$ Income Tax $125,000$

Net Income $$500,000$ Net Income $$500,000$

Equity:

Common Stock $700,000$ $$600,000$

APIC $200,000175,000$

Additional Information Retained Earnings $1,360,000950,000$

$1.$ Investments were sold for cash. Total Equity $2,260,0001,725,000$

$2.$Land and Equipment were purchased with cash. Total Liabilities & Equity $$2,675,000$ $$2,100,000$

$3.$There were no disposals of equipment during the year.

$4.$ Stock was issued for cash.