Prepare an income statement using the following information: ...

[robinn137]

Prepare an income statement using the following information:
 
   Gross profit margin 40
   Gross profit 7,500
   Tax rate 35
   Operating profit 400
 
  What will be an ideal response?

Question 2

All of the following are items that cause a difference between the bank balance and the book balance except
 a. NSF checks.
   b. deposits in transit.
   c. outstanding checks.
   d. canceled checks.
   e. bank service charges.

[morganmarie791]

Answer to Question 1

Net sales 18,750
Cost of goods sold 11,250
Gross profit 7,500
Operating expenses 7,100
Operating profit 400
Income tax expense 140
Net profit 260

Answer to Question 2

d

[robinn137]

Wow, this really help

[LVPMS]

Thanks for the timely response, appreciate it