Answer:
Wolford Department Store
Income Statement
For the year ended November 30. 2017
Sales Revenue
Total sales $1,157,120
Less Sales return <u>$25,600</u>
Net Sales Revenue $1,131,520
Less : Cost of goods sold <u>$786,304</u>
Gross Profit $345,216
Operating Expenses
<u>Selling Expenses</u>
Freight out $7,936
Advertising expenses $42,880
<u>Administrative expenses</u>
Depreciation Expenses $17,280
Salaries and wages Expenses $149,760
Rent Expenses $43,520
Utilities Expenses $13,568
Insurance Expenses $11,520
Total Operating Expenses <u>$286,464</u>
$58,752
Other Income and Expenses
Gain on disposal of equipment $2,560
Less: Interest Expenses $11,520
Net Other Income and Expenses -$8,960
Less: Income Tax Expenses <u>$12,800</u>
Net Income <u>$36,992</u>