There are 2 questions that you need to answer by reviewing both reports:

1) In 200 words or less, describe the income statement that you just prepared. Was the company profitable? What was the net income or net loss for the period? What is the biggest expense that the company incurred?

2) In reading the aging of accounts receivable report, how much is 90 days past due? What is the percentage of the not past due receivables against the total amount owed to the company? This assignment focuses on how well you can analyze the income statement and the aging account receivables. Please remember to be as detailed as you can to provide a full analysis of both financial statements.

1 Income Statement In 200 words or less, describe the income statement that you just prepared. Was the company profitable? What was the net income or net loss for the period? What is the biggest expense that the company incurred? Lincoln Company Comparative Income Statement For the Years Ended December 31, 2016 and 201.5 Increase (Decrease) Amount Percent 2016 2015 Sales Cost of goods sold. Gross profit Selling expenses Administrative expenses Total operating expenses Income from operations Other income $1,498,000 $1,200,000 $298,000 24.8% 1,043,000 820,000 223,000 27.2% $ 455,000 $ 380,000 $75,000 19.7% $ 191,000 $ 147,000 $ 44,000 29.9% 6,600 6.8% $ 295,000 $ 244,400 $ 50,600 20.7% $ 160,000 $ 135,600 $ 24,400 18.0% .796) $ 168,500 $ 146,600 $ 21,900 14.9% 6,000 12,000 (6,000) (50.0%) $ 162,500 $ 134,600 $ 27,900 20.7% 58,100 13,400 23.1% 91,000 $ 76,500 $ 14,500 19.0% 104,000 97,400 8,500 11,000 (2.500) (22 Other expense (interest) Income before income tax Income tax expense Net income 71,500