Question
Selected information taken from the financial statements of Verbeke Co. for the year ended December 31, 2013, follows: Gross profit $414,000 General and administrative expenses
Selected information taken from the financial statements of Verbeke Co. for the year ended December 31, 2013, follows:
Gross profit | $414,000 |
General and administrative expenses | 80,000 |
Net cash used by investing activities | 107,000 |
Dividends paid | 50,000 |
Interest expense | 64,000 |
Net sales | 746,000 |
Advertising expense | 75,000 |
Accounts payable | 103,000 |
Income tax expense | 85,000 |
Other selling expenses | 43,000 |
Required: |
a. | Calculate income from operations (operating income) for the year ended December 31, 2013. |
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b. | Calculate net income for the year ended December 31, 2013. |
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