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. Accounts Payable Accounts Receivable Accumulated Depreciation-Equipment Cash Common Stock Cost of Goods Sold Freight-Out Equipment Depreciation Expense Dividends Gain on Disposal of Plant Assets Income Tax Expense Insurance Expense Interest Expense Inventory Notes Payable Prepaid Insurance Advertising Expense Rent Expense Retained Earnings Salaries and Wages Expense Sales Revenue Salaries and Wages Payable Sales Returns and Allowances Utilities Expense $ 38,056 24,424 96,560 11,360 49,700 872,306 8,804 222,940 19.170 17.040 2.840 14,200 12.780 7.100 37.204 61.770 8.520 47,570 48.280 20,164 166.140 1.283,680 8.520 28.400 15.052 Additional data.Note r duin 20 Prepare a multiple-step income statement. (List other revenues before other expenses.) WOLFORD DEPARTMENT STORE Income Statement nd-of-Chapter Practice X Prepare a retained earnings statement. (List items that increase retained earnings first.) WOLFORD DEPARTMENT STORE Retained Earnings Statement eTextbook and Media List of Accounts Prepare a classified balance sheet. (List current assets in order of liquidity) WOLFORD DEPARTMENT STORE Balance Sheet Assets DELL Prepare a classified balance sheet. (List current assets in order of liquidity) WOLFORD DEPARTMENT STORE Balance Sheet Assets Liabilities and Stockholders' Equity Liabilities and Stockholders' Equity e Textbook and Media Calculate the profit margin and the gross profit rate. (Round answers to 1 decimal places. 15.2%) Profit margin Gross profit rate eTextbook and Media List of Accounts 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 $57.429 and expenses by $83,212. Compute the expected new net income. Then, compute the revised profit margin and gross profit rate. (Ignore income tax effects.) Revised net income Revised profit margin (Round to 1 decimal place, e.g. 15.2%) Revised gross profit rate (Round to 1 decimal place, eg. 15.2%) e Textbook and Media List of Accounts 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. Accounts Payable Accounts Receivable Accumulated Depreciation-Equipment Cash Common Stock Cost of Goods Sold Freight-Out Equipment Depreciation Expense Dividends Gain on Disposal of Plant Assets Income Tax Expense Insurance Expense Interest Expense Inventory Notes Payable Prepaid Insurance Advertising Expense Rent Expense Retained Earnings Salaries and Wages Expense Sales Revenue Salaries and Wages Payable Sales Returns and Allowances Utilities Expense $ 38,056 24,424 96,560 11,360 49,700 872,306 8,804 222,940 19.170 17.040 2.840 14,200 12.780 7.100 37.204 61.770 8.520 47,570 48.280 20,164 166.140 1.283,680 8.520 28.400 15.052 Additional data.Note r duin 20 Prepare a multiple-step income statement. (List other revenues before other expenses.) WOLFORD DEPARTMENT STORE Income Statement nd-of-Chapter Practice X Prepare a retained earnings statement. (List items that increase retained earnings first.) WOLFORD DEPARTMENT STORE Retained Earnings Statement eTextbook and Media List of Accounts Prepare a classified balance sheet. (List current assets in order of liquidity) WOLFORD DEPARTMENT STORE Balance Sheet Assets DELL Prepare a classified balance sheet. (List current assets in order of liquidity) WOLFORD DEPARTMENT STORE Balance Sheet Assets Liabilities and Stockholders' Equity Liabilities and Stockholders' Equity e Textbook and Media Calculate the profit margin and the gross profit rate. (Round answers to 1 decimal places. 15.2%) Profit margin Gross profit rate eTextbook and Media List of Accounts 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 $57.429 and expenses by $83,212. Compute the expected new net income. Then, compute the revised profit margin and gross profit rate. (Ignore income tax effects.) Revised net income Revised profit margin (Round to 1 decimal place, e.g. 15.2%) Revised gross profit rate (Round to 1 decimal place, eg. 15.2%) e Textbook and Media List of Accounts