The information below is taken from the December 31, 2016 adjusted trial balance of Rummer Company:
The inventory on December 31, 2016 was $165,000. The income tax rate is 30%. There were 25,000 shares of common stock outstanding throughout the year.
Required:
a. Prepare a schedule of the cost of goods sold.
b. Prepare a 2016 income statement for Rummer Company, using a multiple-step format disregard earnings per share).
c. Prepare a 2016 income statement for Rummer Company, using a single-step format disregard earnings per share).

Question

The information below is taken from the December 31, 2016 adjusted trial balance of Rummer Company: 
 The inventory on December 31, 2016 was $165,000. The income tax rate is 30%. There were 25,000 shares of common stock outstanding throughout the year.
Required: 
a. Prepare a schedule of the cost of goods sold.
b. Prepare a 2016 income statement for Rummer Company, using a multiple-step format disregard earnings per share).
c. Prepare a 2016 income statement for Rummer Company, using a single-step format disregard earnings per share).

Quizplus · Accepted Answer

The Answer of The information below is taken from the December 31, 2016 adjusted trial balance of Rummer Company: 
 The inventory on December 31, 2016 was $165,000. The income tax rate is 30%. There were 25,000 shares of common stock outstanding throughout the year.
Required: 
a. Prepare a schedule of the cost of goods sold.
b. Prepare a 2016 income statement for Rummer Company, using a multiple-step format disregard earnings per share).
c. Prepare a 2016 income statement for Rummer Company, using a single-step format disregard earnings per share).

The Information Below Is Taken from the December 31, 2016