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Multiple-Step Income Statement and Profit Margin The following income statement items, arranged in alphabetical order, are taken from the records of Shaw Corporation for the
Multiple-Step Income Statement and Profit Margin
The following income statement items, arranged in alphabetical order, are taken from the records of Shaw Corporation for the current year:
Advertising expense | $1,588 | Interest expense | $1,493 | |
Commissions expense | 2,483 | Interest revenue | 1,354 | |
Cost of goods sold | 29,289 | Rent revenue | 7,066 | |
Depreciation expense - office building | 2,664 | Salaries and wages expenseoffice | 11,560 | |
Income tax expense | 1,417 | Sales revenue | 48,047 | |
Insurance expense - salespersons auto | 2,112 | Supplies expenseoffice | 888 |
Required:
Assume that Shaw Corporation classifies all operating expenses into two categories: (1) selling and (2) general and administrative.
Other revenues and expenses: | |||
Interest expense | |||
Operating revenues | |||
Advertising expense | |||
Excess of other revenues over other expenses | |||
Income before taxes | |||
Income tax expense | |||
Net income |
Compute Shaw's profit margin. Round your answer to one decimal place. _ %
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