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Cash Required information CP6-5 Preparing a Multistep Income Statement and Computing the Gross Profit Percentage [LO 6-6] [The following information applies to the questions displayed

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Cash Required information CP6-5 Preparing a Multistep Income Statement and Computing the Gross Profit Percentage [LO 6-6] [The following information applies to the questions displayed below) Psymon Company, Inc., sells construction equipment. The annual fiscal period ends on December 31. The following adjusted trial balance was created from the general ledger accounts on December 31 Account Titles Debits Credits $ 47,250 Accounts Receivable 20,000 Inventory 72,500 Property and Equipment 55,000 recunulated Depreciation $ 23, 100 Accounts Payable 33,500 Common Stock 100,000 Retained Earnings, January 1 12,600 Sales Revenge 188,000 of Goods Sold 110,000 Salaries and Wages Expense 19,000 Office Expenses 20,000 Interest Expense 2,500 Income Tax Expense 10,950 Totals $357,200 $357,200 CP6-5 Part 1 Required: 1. Prepare o multistep income statement that would be used for external reporting purposes. TIP: Some of the accounts listed will appear on the balance sheet rather than the income statement. CP6-5 Part 1 Required: 1. Prepare a multistep income statement that would be used for external reporting purposes. TIP: Some of the accounts listed will appear on the balance sheet rather than the income statement. PSYMON COMPANY, INC. Income Statement For the Year Ended December 31 CP6-5 Preparing a Multistep Income Statement and Computing the Gross Prof [The following information applies to the questions displayed below.) Psymon Company, Inc., sells construction equipment. The annual fiscal period ends on Dec adjusted trial balance was created from the general ledger accounts on December 31: Credits Debits $ 47,250 20,000 72,500 55,000 Account Titles Cash Accounts Receivable Inventory Property and Equipment Accumulated Depreciation Accounts Payable Common Stock Retained Earnings, January 1 Sales Revenue Cost of Goods Sold Salaries and Wages Expense Office Expenses Interest Expense Income Tax Expense Totals $ 23,100 33,500 100,000 12,600 188,000 110,000 19,000 20,000 2,500 10,950 $357,200 $ 357,200 CP6-5 Part 2 2. Compute the gross profit percentage. (Round your answer to 1 decimal place.) Gross Profit Percentage

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