Ex. 216
In 2014, Rooney Company had net sales of $600,000 and cost of goods sold of $360,000. Operating expenses were $150,000, and interest expense was $15,000.
Instructions
(a)Compute Rooney's gross profit.
(b)Compute the gross profit rate.
(c)What is Rooney's income from operations and net income?
Ex. 217
Cost of goods sold$ 760,000
Net sales1,350,000
Operating expenses279,000
Interest expense63,000
Dividend revenue38,000
Loss from employee strike233,000
Instructions
Prepare an income statement for the year ended December 31, 2014.