Question
Cost of Goods Sold and Income Statement Schuch Company presents you with the following account balances taken from its December 31, 2016, adjusted trial balance:
Cost of Goods Sold and Income Statement
Schuch Company presents you with the following account balances taken from its December 31, 2016, adjusted trial balance:
| Inventory, January 1, 2016 | $45,000 | Purchases returns | $3,500 | |
| Selling expenses | 35,000 | Interest expense | 4,000 | |
| Purchases | 110,000 | Sales discounts taken | 2,000 | |
| Sales | 280,000 | Gain on sale of property (pretax) | 7,000 | |
| General and administrative expenses | 22,000 | Freight-in | 5,000 |
Additional data:
- A physical count reveals an ending inventory of $22,500 on December 31, 2016.
- Twenty-five thousand shares of common stock have been outstanding the entire year.
- The income tax rate is 30% on all items of income.
Required:
1. Prepare a separate schedule for Schuch's cost of goods sold.
| SCHUCH COMPANY | ||
| Schedule 1: Cost of Goods Sold | ||
| For Year Ended December 31, 2016 | ||
| $fill in the blank d87b0b08306806e_2 | ||
| $fill in the blank d87b0b08306806e_4 | ||
| fill in the blank d87b0b08306806e_6 | ||
| $fill in the blank d87b0b08306806e_8 | ||
| fill in the blank d87b0b08306806e_10 | ||
| fill in the blank d87b0b08306806e_12 | ||
| $fill in the blank d87b0b08306806e_14 | ||
| fill in the blank d87b0b08306806e_16 | ||
| $fill in the blank d87b0b08306806e_18 | ||
2. Prepare a 2016 multiple-step income statement. Round earnings per share computations to the nearest cent.
| SCHUCH COMPANY | ||
| Income Statement (Multi-Step) | ||
| For Year Ended December 31, 2016 | ||
| $fill in the blank cdb0aefa0fddfa2_2 | ||
| fill in the blank cdb0aefa0fddfa2_4 | ||
| $fill in the blank cdb0aefa0fddfa2_6 | ||
| fill in the blank cdb0aefa0fddfa2_8 | ||
| $fill in the blank cdb0aefa0fddfa2_10 | ||
| Operating expenses: | ||
| $fill in the blank cdb0aefa0fddfa2_12 | ||
| fill in the blank cdb0aefa0fddfa2_14 | ||
| fill in the blank cdb0aefa0fddfa2_16 | ||
| $fill in the blank cdb0aefa0fddfa2_18 | ||
| Other items: | ||
| $fill in the blank cdb0aefa0fddfa2_20 | ||
| fill in the blank cdb0aefa0fddfa2_22 | fill in the blank cdb0aefa0fddfa2_23 | |
| $fill in the blank cdb0aefa0fddfa2_25 | ||
| fill in the blank cdb0aefa0fddfa2_27 | ||
| $fill in the blank cdb0aefa0fddfa2_29 | ||
| Components of Income | EPS | |
| $fill in the blank cdb0aefa0fddfa2_31 | ||
3. Prepare a 2016 single-step income statement. Round earnings per share computations to the nearest cent.
| SCHUCH COMPANY | ||
| Income Statement (Single-Step) | ||
| For Year Ended December 31, 2016 | ||
| Revenues: | ||
| $fill in the blank 2d6d49049025ff6_2 | ||
| fill in the blank 2d6d49049025ff6_4 | ||
| $fill in the blank 2d6d49049025ff6_6 | ||
| Expenses: | ||
| $fill in the blank 2d6d49049025ff6_8 | ||
| fill in the blank 2d6d49049025ff6_10 | ||
| fill in the blank 2d6d49049025ff6_12 | ||
| fill in the blank 2d6d49049025ff6_14 | ||
| fill in the blank 2d6d49049025ff6_16 | ||
| fill in the blank 2d6d49049025ff6_18 | ||
| $fill in the blank 2d6d49049025ff6_20 | ||
| Components of Income | EPS | |
| $fill in the blank 2d6d49049025ff6_22 | ||
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Financial Accounting Second Custom Edition For The University Of Central Florida
Authors: Walter T. Jr, Horngren Harrison
2nd Custom Edition
0536986002, 978-0536986009
