Multiple-Step Income Statement On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows: Accumulated Depreciation—Building $747,650   Merchandise Inventory $1,012,400 Administrative Expenses 514,250   Notes Payable 245,500 Building 2,582,900   Office Supplies 20,250 Cash 178,500   Salaries Payable 8,100 Cost of Merchandise Sold 3,983,900   Sales 6,369,950 Interest Expense 10,250   Selling Expenses 735,800 Kathy Melman, Capital 1,650,500   Store Supplies 94,200 Kathy Melman, Drawing 167,400       a.  Prepare a multiple-step income statement for the year ended March 31, 2019. Racine Furnishings Company Income Statement For the Year Ended March 31, 2019     $       Gross profit   $ Expenses:       $         Total expenses         $ Other expense:               $

Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter5: The Income Statement And The Statement Of Cash Flows
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Multiple-Step Income Statement

On March 31, 2019, the balances of the accounts appearing in the ledger of Racine Furnishings Company, a furniture wholesaler, are as follows:

Accumulated Depreciation—Building $747,650   Merchandise Inventory $1,012,400
Administrative Expenses 514,250   Notes Payable 245,500
Building 2,582,900   Office Supplies 20,250
Cash 178,500   Salaries Payable 8,100
Cost of Merchandise Sold 3,983,900   Sales 6,369,950
Interest Expense 10,250   Selling Expenses 735,800
Kathy Melman, Capital 1,650,500   Store Supplies 94,200
Kathy Melman, Drawing 167,400      

a.  Prepare a multiple-step income statement for the year ended March 31, 2019.

Racine Furnishings Company
Income Statement
For the Year Ended March 31, 2019
    $
     
Gross profit   $
Expenses:    
  $  
     
Total expenses    
    $
Other expense:    
     
    $
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