Exercise 4-04

The financial records of Bramble Inc. were destroyed by fire at the end of 2020. Fortunately, the controller had kept certain statistical data related to the income statement as follows.

1. The beginning merchandise inventory was $106,720 and decreased 20% during the current year.

2. Sales discounts amount to $13,940.

3. 18,906 shares of common stock were outstanding for the entire year.

4. Interest expense was $22,000.

5. The income tax rate is 30%.

6. Cost of goods sold amounts to $450,000.

7. Administrative expenses are 20% of cost of goods sold but only 8% of gross sales.

8. Four-fifths of the operating expenses relate to sales activities.

From the foregoing information an income statement for the year 2020 in single-step form. (Round earnings per share to 2 decimal places, e.g. 1.48.)

BRAMBLE INC.

Income Statement

choose the accounting period

select an opening name for section one

select an income statement item

$enter a dollar amount

select an opening name for section two

enter an income statement item

$enter a dollar amount

enter an income statement item

enter a dollar amount

enter an income statement item

enter a dollar amount

enter an income statement item

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select a closing name for section two

enter a total amount for section two

select a summarizing line for this part

enter a total amount for this part

enter an income statement item

enter a dollar amount

select a closing name for this statement

$enter a total net income or loss amount

select an income statement item

$enter a dollar amount