Income statement

1 Corporate Income Statement 2 3 Magnus Incorporated 4 Income Statement 5 For Month Ended February 28 6 7 Depreciation expense-Office equipment $500 8 Depreciation expense-Store equipment 2,500 9 Insurance expense 500 10 Income Tax 15,000 11 Interest expense 2,500 12 Merchandise inventory, beginning $75,000 13 Merchandise inventory, ending 68,000 14 Office salaries expense 17,000 15 Office supplies expense 1,025 16 Purchases 300,000 17 Rent expense 500 18 Sales 452,500 19 Sales salaries expense 15,000 20 Store supplies expense 2,525 21 Loss from disposal of a segment of business ($23,000) 22 Less: reduction in applicable income tax 4,500 23 Extraordinary loss ($10,000) 24 Less: reduction in applicable income tax 1,100 25 26 27 28 29 30 31 32 33 34 Data Original Data + D OD VOOR GN- A B C 1 Corporate Income Statement 2 Magnus Incorporated 3 Income Statement 4 For Month Ended February 28 5 6 Sales 7 Cost of merchandise sold Merchandise inventory, beginning 9 Purchases 10 Merchandise available for sale 11 Less merchandise inventory, ending 12 Cost of merchandise sold 13 Gross profit 14 Operating expenses 15 Selling expenses 16 Advertising expenses 17 Depreciation expense-Store equipment 18 Sales salaries expense 19 Store supplies expense 20 Total seling expenses 21 General expenses 22 Depreciation expense-Office equipment 23 Insurance expense 24 Office salaries expense Office supplies expense 26 Rent expense 27 Total general expenses 28 Total operating expenses 29 Income from operations 30 Other expenses 31 Interest expense 32 Income from continuing operations before taxes 33 Income tax 34 Income from continuing operations 35 Loss from disposal of a segment of business 36 Less: reduction in applicable income tax 37 Income before extraordinary item 38 Extraordinary loss 39 Less: reduction in applicable income tax 40. Net Income 41 42 44 45 48 Data Original Data +