Best writers. Best papers. Let professionals take care of your academic papers

Order a similar paper and get 15% discount on your first order with us
Use the following coupon "FIRST15"
ORDER NOW

shown below is an income statement for the 2014 year that was prepared by a poorly trained bookkeeper of Watts

shown below is an income statement for the 2014 year that was prepared by a poorly trained bookkeeper of Watts

Updoc Corporation.

Watts Updock Corporation

                                                                                                          INCOME STATEMENT

                                                                                                             December 31, 2014

Sales revenue                                                                                                                   $ 945,000

Deferred Revenue                                                                                                                  35,000

Investment revenue                                                                                                                19,500

Cost of merchandise sold                                                                                                (408,500)

Selling expenses                                                                                                                (145,000)

Administrative expense                                                                                                     (215,000)

Interest expense                                                                                                                  (13,000)

Loss on disposal of a component of the business                                                         (30,000)

Major casualty loss (extraordinary item)                                                                          (70,000)

Net Federal income tax liability                                                                                         (24,900)

Net income                                                                                                                           $ 93,100

Required:

Prepare a multiple-step income statement for 2014 presented in accordance with generally accepted accounting principles (including format and terminology).

Watts Updock Corporation has 50,000 shares of common stock outstanding.

It has a 30% federal income tax rate.

 
Looking for a Similar Assignment? Order now and Get 10% Discount! Use Coupon Code "Newclient"