Answer:
$76,000
Explanation:
WAYMAN CORPORATION
Multiple-step Income Statement
For the year ended December 31, 2018
Sales revenue $ 432,000
Cost of goods sold 136,000
Gross profit $296,000
Salaries expense $46,000
Utilities expense $56,000
Advertising expense $36,000
Operating income $158,000
Interest expense $26,000
Income before income taxes
($158,000-$26,000) $132,000
Income tax expense $56,000
Net income ($132,000-$56,000) $76,000
Operating income= Gross profit- Total expenses
$296,000-$138,000=$158,000
Answer:
Wayman Corporation
Income statement for the year ended December 31, 2018
Amount in $ Amount in $
Sales revenue 432,000
Cost of goods sold (136,000)
Gross profit 296,000
Operating expenses
Salaries expense 46,000
Advertising expense 36,000
Utilities expense 56,000 (138,000)
Operating income 158,000
Non-operating or other
Interest expense (26,000)
Income before income taxes 132,000
Income tax expense (56,000)
Net income 76,000
Explanation:
The multiple income statement is one in which incomes and expenses are grouped under operating and non-operating heads. Like other forms of income statement, it shows the income and expenses of an entity for a given period of time.
