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What is the Net Profit ratio for this company? 1. 20% 2. 16% 3. 12% 4. 24% INCOME STATEMENT Particulars Amount Income 687,700 Revenues from

What is the Net Profit ratio for this company?

1. 20% 2. 16% 3. 12% 4. 24%

INCOME STATEMENT
Particulars Amount
Income 687,700
Revenues from Court Fees 678,100
Revenues from Locker Fees 9,600
Expenses
Cost of Sales: 474,600
Supplies 1,200
Wages Expense 351,000
Maintenance Expense 51,600
Utilities Expense 64,800
Supplies Expense 6,000
Gross Profit: 213,100
Operating Expenses: 131,150
Advertising Expense 39,750
Depreciation Expense - Building 30,000
Depreciation Expense - Equipment 12,000
Property Tax Expense 22,500
Miscellaneous Expense 6,900
Operating Profit: 166,450
Income Tax Expense 20,000
Profit: 81,950

BALANCE SHEET
Particulars Amount
Assets
Current Assets: 35,800
Cash 26,200
Prepaid Advertising 9,600
Non Current Assets: 590,800
Land 100,000
Building 645,200
Accumulated Depreciation - Building -260,000
Equipment 156,000
Accumulated Depreciation - Equipment -50,400
Total Assets: 626,600
Liabilities
Current Liabilities: 127,500
Accounts Payable 73,000
Wages Payable 9,000
Property Taxes Payable 22,500
Unearned Revenue - Locker Fee 3,000
Income Taxes Payable 20,000
Non Current Liabilities: 0
Total Liabilities: 127,500
Equity
Common Stock 200,000
Retained Earnings 299,100
Total Equity: 499,100

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