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Prepare a financial statement for a small business using the following data: Category Amount ($) Revenue 200,000 Cost of Goods Sold 80,000 Operating Expenses 60,000


  1. Prepare a financial statement for a small business using the following data:

CategoryAmount ($)
Revenue200,000
Cost of Goods Sold80,000
Operating Expenses60,000
Interest Expense12,000
Tax Expense30,000
Net Income?

Requirements:

  • Calculate the gross profit and operating income.
  • Determine the net income after accounting for interest and taxes.
  • Prepare an income statement using the provided data.
  • Present the income statement in a table format.
  • Explain the significance of each financial metric.
  • Provide key insights from the income statement.

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