Question
The financial records of DISGRASYA Inc. were destroyed by fire at the end of 2020. Selected information gathered are the following: Inventory on January 1
The financial records of DISGRASYA Inc. were destroyed by fire at the end of 2020. Selected information gathered are the following:
Inventory on January 1 was P92,000 and decreased by 20% during the year.
Sales discount amounted to P17,000.
Interest expense is P20,000.
Cost of sales is P500,000.
Administrative expenses amounted to 20% of cost of sales but only 8% of gross sales.
Two thirds of operating expenses relate to sales activities.
The company is subject to 30% income tax.
WHAT IS THE NET INCOME (NET LOSS DURING 2020?
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To calculate the net income net loss for 2020 we need to consider the given information and apply th...
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
