ty] WileyPLUS https://edugen.wileyplus.com/edugen/student/mainfr.uni Kimmel, Acc

ID: 2573491 • Letter: T

Question

ty] WileyPLUS https://edugen.wileyplus.com/edugen/student/mainfr.uni Kimmel, Accounting, 6e actice GradebookORION Downloadable eTextbook nment Exercise 5-10 (Part Level Submission) In its income statement for the year ended December 31, 2017, Sage Hill Inc. reported the following condensed data. Operating expenses $768,500 Interest revenue Cost of goods sold 1,331,360 Loss on disposal of plant assets Interest expense Income tax expense 49,820 Other comprehensive income (net of $1,270 tax) 34,980 18,020 2,332,000 8,800 74,200 Net sales (a) Your answer is partially correct. Try again. Prepare an income statement SAGE HILL INC. Net Sales 1331360 t of Goods Sod 10000640 Gross Prof Opera All Rights Reserved. A Division of 2ohn Wilsy& SensIns

Explanation / Answer

SAGE HILL INC.

Income Statement

For the Year ended December 31, 2017

Net sales

$ 2,332,000.00

Cost of goods sold

$ 1,331,360.00

Gross profit

$ 1,000,640.00

Operating expenses

$ 768,500.00

Income from operations

$ 232,140.00

Other revenues and gains

Interest revenue

$ 34,980.00

Other expenses and losses

Interest expense

$ 74,200.00

Loss on disposal of plant assets

$ 18,020.00

$ 92,220.00

-$ 57,240.00

Net income

$ 174,900.00