Question
The following selected accounts and their current balances appear in the ledger of Fernandez Co. at the end of its fiscal year. Cash $250,000 Retained
The following selected accounts and their current balances appear in the ledger of Fernandez Co. at the end of its fiscal year.
Cash | $250,000 | Retained Earnings | $2,850,000 |
Accounts Receivable | 1,197,000 | Dividends | 50,000 |
Inventory | 1,790,000 | Sales | 9,350,000 |
Estimated Returns Inventory | 23,500 | Cost of Goods Sold | 5,840,000 |
Office Supplies | 14,000 | Sales Salaries Expense | 820,000 |
Prepaid Insurance | 8,500 | Advertising Expense | 350,000 |
Office Equipment | 870,000 | Depreciation Expense-Store Equipment | 120,000 |
Accumulated Depreciation-Office Equipment | 580,000 | Miscellaneous Selling Expense | 58,000 |
Store Equipment | 2,600,000 | Office Salaries Expense | 550,000 |
Accumulated Depreciation-Store Equipment | 820,000 | Rent Expense | 104,000 |
Accounts Payable | 336,000 | Depreciation Expense-Office Equipment | 60,000 |
Customer Refunds Payable | 39,000 | Insurance Expense | 50,000 |
Salaries Payable | 43,000 | Office Supplies Expense | 26,000 |
Notes Payable (long-term) | 200,000 | Miscellaneous Administrative Expense | 12,000 |
Common Stock | 600,000 | Interest Expense | 25,000 |
Required
Prepare a multiple-step income statement for Fernandez Co. for the year ended December 31. Be sure to complete the statement heading. Refer to the account names in the instructions and the lists of Labels and Amount Descriptions for the exact wording of text entries. A colon (:) will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign.
Prepare a multiple-step income statement for Fernandez Co. for the year ended December 31. Be sure to complete the statement heading. Refer to the account names in the instructions and the lists of Labels and Amount Descriptions for the exact wording of text entries. A colon (:) will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign.
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