[osaiah]

Prepare a multiple-step income statement; 100,000 common stock were outstanding during the year. Assume the total effective tax rate on all items is 34%


Interest revenue 86,000
Cash 51,000
Accounts receivable 150,000
Prepaid insurance 20,000
Allowances for doubtful accounts 7,000
Sales discounts 45,000
Land 100,000
Equipment 200,000
Building 140,000
Cost of goods sold 621,000
Accumulated depreciation-equipment 40,000

Accumulated depreciation- building 28,000
Notes receivable 155,000
Selling expense 194,000
Accounts payable 170,000
Bonds payable 100,000
Administrative and general expense 97,000
Accrued liabilities 32,000
Interest Expense 60,000
Notes payable 100,000
Loss from earthquake damage
(extra ordinary item) 120,000
Common Stock 500,000
Retained earnings 21,000

[pready]

We are not here to do your homeowork for you. You need to use your accounting textbook to get an example of a multi-step income statement, then put your information in the proper format.

From the information provided you have a lot of Balance Sheet accounts that will not appear on an Income Statement.

If you have a specific question we will try to help you and we can review your work to tell you if it is right or not and what you did wrong (if neccessary).