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  • Dec 2, 2007, 06:13 PM
    imarti6053
    Income statement
    How do I do an income statement with missing info on income tax?

    Income Statement Preparation
    The following selected information is taken from the records of Beckstrom Corporation.

    Accounts payable.. . $ 35,000
    Accounts receivable.. . 65,000
    Advertising expense.. . 15,000
    Cash.. . 19,500
    Supplies expense.. . 46,000
    Rent expense.. . 10,000
    Utilities expense.. . 3,000
    Income taxes (30% of income before taxes)..
    Miscellaneous expense.. . 4,400
    Owners’ equity.. . 140,000
    Salaries expense.. . 61,000
    Fees (revenues).. . 384,000
    1. Prepare an income statement for the year ended December 31, 2006. (Assume that 7,500
    Shares of stock are outstanding.)
  • Dec 3, 2007, 07:03 AM
    qcmar24
    the income tax is not missing you just haven't calculated yet, after you prepare your income stament as you ussually do revenues-expenses= income before taxes - 30%(income taxes)=Net income after taxes
    you just need to multiply your income before taxes by 30% and that will be your income tax and the income before taxes will be deduct by that value and it will give you the income after taxes.
    revenues... xxxx
    expenses... (xxxx)
    net income before taxes.$xxxx
    income tax(30%)... (xxxx)
    net income after taxes.. $...

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