Question
General Ledger for ABC Company The following is the general ledger for ABC Company as of December 31, 20X1. Use this information to answer questions
General Ledger for ABC Company The following is the general ledger for ABC Company as of December 31, 20X1. Use this information to answer questions (1) through (4).
ABC CompanyGeneral LedgerAs of December 31, 20X1 AmountAssets Cash$29,400Accounts receivable8,100Supplies4,900Prepaid rent20,200Equipment (net)63,800Liabilities Accounts payable$ 6,300Salaries payable4,000Interest payable1,100Utilities payable3,700Bonds payable38,400Stockholders' equity Common stock$60,900Retained earnings0Dividends2,100Revenues Sales revenue$54,200Interest revenue1,400Expenses Cost of goods sold$15,100Salaries expense7,100Rent expense4,900Supplies expense1,300Utilities expense4,800Depreciation expense2,500Interest expense2,100Income tax expense3,700What is the amount of gross profit to be reported on ABC Company's 12/31/X1 income statement?
$40,500
$14,100
$39,100
$17,800
2. What is the amount of operating income (EBIT) to be reported on ABC Company's 12/31/X1 income statement?
$36,100
$18,500
$14,800
$14,100
What is the amount of earnings before taxes (EBT) to be reported on ABC Company's 12/31/X1 income statement?
$15,000
$17,800
$12,000
$18,500
4. What is the amount of net income to be reported on ABC Company's 12/31/X1 income statement?
$17,800
$12,000
$14,100
$18,500
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