Exercise 4-6

The following balances were taken from the books of Marin Corp. on December 31, 2017.

Interest revenue		$87,750		Accumulated depreciationequipment		$41,750
Cash		52,750		Accumulated depreciationbuildings		29,750
Sales revenue		1,381,750		Notes receivable		156,750
Accounts receivable		151,750		Selling expenses		195,750
Prepaid insurance		21,750		Accounts payable		171,750
Sales returns and allowances		151,750		Bonds payable		101,750
Allowance for doubtful accounts		8,750		Administrative and general expenses		98,750
Sales discounts		46,750		Accrued liabilities		33,750
Land		101,750		Interest expense		61,750
Equipment		201,750		Notes payable		101,750
Buildings		141,750		Loss from earthquake damage		151,750
Cost of goods sold		622,750		Common stock		501,750
				Retained earnings		22,750

Assume the total effective tax rate on all items is 34%. Prepare a multiple-step income statement; 100,000 shares of common stock were outstanding during the year. (Round earnings per share to 2 decimal places, e.g. 1.48.)

MARIN CORP. Income Statement December 31, 2017For the Year Ended December 31, 2017For the Quarter Ended December 31, 2017
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
		$
AddLess :
	$
Other Expenses and Losses Dividends Earnings Per Common Share Expenses Other Revenues and Gains Gross Profit / (Loss) Income Before Income Tax Income From Operations Net Income / (Loss) Net Sales Operating Expenses Retained Earnings, January 1 Retained Earnings, December 31 Revenue Total Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsGross Profit / (Loss)Income Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses
Other Expenses and LossesDividendsEarnings Per Common ShareExpensesOther Revenues and GainsIncome Before Income TaxIncome From OperationsNet Income / (Loss)Net SalesOperating ExpensesRetained Earnings, January 1Retained Earnings, December 31RevenueTotal Expenses		$