Question
Would like some help to double check my work, thanks. Prepare a multi-step vertical analysis income statement for Banning Merchandising Co. as of the year
Would like some help to double check my work, thanks.
Prepare a multi-step vertical analysis income statement for Banning Merchandising Co. as of the year ended December 31, 2021. Create a 4-column table with the first column as wide as possible for the line item descriptions. Use column 2 for detail, column 3 for nets, sub-totals, & totals, and column 4 for the vertical-analysis percentages to the nearest tenth. After the net income skip a couple of rows and give the number of outstanding shares and earnings per share. Headers and sub-headers should be left justified and dollars and percentages should be right justified using $, %, and underlining as appropriate. Not all the accounts listed below belong on the income statement.
General Ledger Accounts with their Normal Balances:
Accounts payable $24,500 Accounts receivable 49,000 Cash 23,000 Cost of goods sold 415,000 General & administrative expenses 236,000 Inventory 38,700 Income taxes 25,220 Other non-operating revenues & gains 6,500 Other non-operating expenses & losses 4,400 Prepaid expenses 2,600 Sales revenue 890,000 Selling expenses 115,000 Common shares issued 60,000 Common shares in treasury 1,550
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