The following balances were taken from the books of Alonzo Corp. on December 31, 2020. Interest revenue $ 86,000 Accumulated depreciation—equipment $ 40,000 Cash 51,000 Accumulated depreciation—buildings 28,000 Sales revenue 1,380,000 Notes receivable 155,000 Accounts receivable 150,000 Selling expenses 194,000 Prepaid insurance 20,000 Accounts payable 170,000 Sales returns and allowances 150,000 Bonds payable 100,000 Allowance for doubtful accounts 7,000 Administrative and general expenses 97,000 Sales discounts 45,000 Accrued liabilities 32,000 Land 100,000 Interest expense 60,000 Equipment 200,000 Notes payable 100,000 Buildings 140,000 Loss from earthquake damage 150,000 Cost of goods sold 621,000 Common stock 500,000 Retained earnings 21,000 Assume the total effective tax rate on all items is 20%.InstructionsPrepare a multiple-step income statement; 100,000 shares of common stock were outstanding during the year.

The following balances were taken from the books of Alonzo Corp. on December 31, 2020. Interest revenue $ 86,000 Accumulated depreciation—equipment $ 40,000 Cash 51,000 Accumulated...

The following balances were taken from the books of Alonzo Corp. on December 31, 2020.

Interest revenue	$ 86,000	Accumulated depreciation—equipment	$ 40,000
Cash	51,000	Accumulated depreciation—buildings	28,000
Sales revenue	1,380,000	Notes receivable	155,000
Accounts receivable	150,000	Selling expenses	194,000
Prepaid insurance	20,000	Accounts payable	170,000
Sales returns and allowances	150,000	Bonds payable	100,000
Allowance for doubtful accounts	7,000	Administrative and general expenses	97,000
Sales discounts	45,000	Accrued liabilities	32,000
Land	100,000	Interest expense	60,000
Equipment	200,000	Notes payable	100,000
Buildings	140,000	Loss from earthquake damage	150,000
Cost of goods sold	621,000	Common stock	500,000
		Retained earnings	21,000

Assume the total effective tax rate on all items is 20%.

Prepare a multiple-step income statement; 100,000 shares of common stock were outstanding during the year.

Jun 03, 2022