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Wolford Department Store is located in midtown Metropolis. During the past several years, net income has been declining because suburban shopping centers have been attracting

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Wolford Department Store is located in midtown Metropolis. During the past several years, net income has been declining because suburban shopping centers have been attracting business away from city areas. At the end of the company's fiscal year on November 30, 2017, these accounts appeared in its adjusted trial balance. $ 39,128 Accounts Payable Accounts Receivable 25,112 Accumulated Depreciation-Equipment 99,280 Cash 11,680 Common Stock 51.100 Cost of Goods Sold 896,878 Freight-Out 9,052 Equipment 229.220 Depreciation Expense 19.710 Depreciation Expense 19,710 Dividends 17,520 2.920 Gain on Disposal of Plant Assets Income Tax Expense Insurance Expense 14,600 13,140 Interest Expense 7,300 Inventory 38.252 Notes Payable 63,510 Prepaid Insurance 8,760 Advertising Expense 48,910 Rent Expense 49,640 20,732 Retained Earnings 170.820 Salaries and Wages Expense Salaries and Wages Expense 170,820 Sales Revenue 1,319,840 Salaries and Wages Payable 8,760 Sales Returns and Allowances 29,200 Utilities Expense 15,476 Additional data: Notes payable are due in 2021. Prepare a multiple-step income statement. (List other revenues before othe WOLFORD DEPART Income Stat WOLFORD DEPARTMENT STORE Income Statement ter 5 Question 2 of 6 - / 16.6 Prepare a retained earnings statement. (List items that increase retained earnings first.) WOLFORD DEPARTMENT STORE Retained Earnings Statement e Textbook and Media 62" 99 search UTC meru WOLFORD DEPARTMENT STORE Balance Sheet Assets $ $ Calculate the profit margin and the gross profit rate. (Round answers to 1 decimal place, eg. 15.2%) Profit margin % Gross profit rate % e Textbook and Media The vice president of marketing and the director of human resources have developed a proposal whereby the company would compensate the sales force on a strictly commission basis. Given the increased incentive, they expect net sales to increase by 15%. As a result, they estimate that gross profit will increase by $ 59,047 and expenses by $ 85,556. Compute the expected new net income. Then compute the revised profit margin and gross profit rate. Cignore income tax effects.) Revised net income Revised profit margin (Round to 1 decimal place, eg. 15.2%) % Revised gross profit rate (Round to 1 decimal place, es. 15.2%)

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