Peyton Approved

Income Statement

For Year Ending 12/31/2017

Bakery Sales $335,675.00

Merchandise Sales $35,200.00

   Total Revenues 370,875.00

Merchandise Cost of Goods Sold (FIFO) 15,760.00

Baking Cost of Goods Sold 137,400.00

Gross Profit 217,715.00

Operating Expenses:

Rent Expense 90,000.00

Interest Expense 1,468.75

Insurance Expense 2,000.00

Depreciation Expense 2,642.86

Amortization Expense 2,000.00

Misc. Expense 2,780.00

Office Supplies Expense 1,350.00

Business License Expense 375.00

Advertising Expense 5,200.00

Wages Expense 22,800.00

Telephone Expense 3,456.00

Total Operating Expenses: 134,072.61

Net Income 83,642.39

How do I get the Gross margin? How do I get the Net Margin?