The Riedl Corporation has the following information available on December 31, 20
ID: 2429737 • Letter: T
Question
The Riedl Corporation has the following information available on December 31, 2015. The tax rate is 30 percent. Show how this information is presented to external users in a multistep format. LO1 E172 S 3,000 120,000 8,000 101,000 100,000 1,500,000 30,000 48,000 850,000 15,000 70,000 79,000 Interest expense Sales salaries Rental revenue Accounts receivable e Administrative salaries Sales Depreciation (40% selling, 60% administrative) Dividends paid Cost of goods sold Sales returns and allowances Loss on Sale of Video Division Loss on sale of equipmentExplanation / Answer
The Riedl Corporation
Statement of Profit & Loss for the year ended 31st December 2015
Particulars
Amount($)
Amount($)
Income
Sales
1,500,000
Less: Sales Returns and allowances
15,000
Net Sales
1,485,000
Rental Revenue
8,000
TOTAL
1,493,000
Expenses
Cost of Goods Sold
850,000
Administrative Salaries
100,000
Sales Salaries
120,000
Interest Expenses
3,000
Loss on sale of video division
70,000
Loss on sale of equipment
79,000
Depreciation :
Administrative Depreciation
18,000
Selling Depreciation
12,000
30,000
TOTAL
1,252,000
Profit Before Tax
241,000
Less: Tax @ 30%
72,300
Profit After Tax
168,700
Less : Dividend Paid
48,000
Retained Earnings
120,700
The Riedl Corporation
Statement of Profit & Loss for the year ended 31st December 2015
Particulars
Amount($)
Amount($)
Income
Sales
1,500,000
Less: Sales Returns and allowances
15,000
Net Sales
1,485,000
Rental Revenue
8,000
TOTAL
1,493,000
Expenses
Cost of Goods Sold
850,000
Administrative Salaries
100,000
Sales Salaries
120,000
Interest Expenses
3,000
Loss on sale of video division
70,000
Loss on sale of equipment
79,000
Depreciation :
Administrative Depreciation
18,000
Selling Depreciation
12,000
30,000
TOTAL
1,252,000
Profit Before Tax
241,000
Less: Tax @ 30%
72,300
Profit After Tax
168,700
Less : Dividend Paid
48,000
Retained Earnings
120,700
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