Selected information taken from the financial statements ofFordstar Co. for the year ended December 31, 2016, follows:
Net cash provided byoperations $ 42,000 Cost of goods sold 183,400 Selling, general, andadministrative expenses 63,000 Accounts payable 50,400 Dividends paid 88,200 Research and developmentexpenses 37,800 Merchandise inventory 61,600 Provision for income taxes 23,800 Net sales 513,800 Interest expense 57,400
Required:
a. Calculate income from operations (operatingincome) for the year ended December 31, 2016.
b. Calculate net income for the year endedDecember 31, 2016.
Selected information taken from the financial statements ofFordstar Co. for the year ended December 31, 2016, follows:
| Net cash provided byoperations | $ | 42,000 |
| Cost of goods sold | 183,400 | |
| Selling, general, andadministrative expenses | 63,000 | |
| Accounts payable | 50,400 | |
| Dividends paid | 88,200 | |
| Research and developmentexpenses | 37,800 | |
| Merchandise inventory | 61,600 | |
| Provision for income taxes | 23,800 | |
| Net sales | 513,800 | |
| Interest expense | 57,400 | |
Required:
a. Calculate income from operations (operatingincome) for the year ended December 31, 2016.
b. Calculate net income for the year endedDecember 31, 2016.
Related questions
Selected information taken from the financial statements ofVerbeke Co. for the year ended December 31, 2016, follows:
| Gross profit | $413,000 |
| General and administrativeexpenses | 84,000 |
| Net cash used by investingactivities | 107,000 |
| Dividends paid | 54,000 |
| Interest expense | 65,000 |
| Net sales | 741,000 |
| Advertising expense | 76,000 |
| Accounts payable | 102,000 |
| Income tax expense | 81,000 |
| Other selling expenses | 44,000 |
Required:
a. Calculate income from operations (operatingincome) for the year ended December 31, 2016.
b. Calculate net income for the year endedDecember 31, 2016.
Selected information taken from the financial statements of Ford star Co. for the year ended December 31, 2019, follows:
| Net cash provided by operations | $ | 39,000 |
| Cost of goods sold | 170,300 | |
| Selling, general, and administrative expenses | 58,500 | |
| Accounts payable | 46,800 | |
| Dividends paid | 81,900 | |
| Research and development expenses | 35,100 | |
| Merchandise inventory | 57,200 | |
| Provision for income taxes | 22,100 | |
| Net sales | 477,100 | |
| Interest expense | 53,300 | |
Required:
a. Calculate income from operations (operating income) for the year ended December 31, 2019.
b. Calculate net income for the year ended December 31, 2019.
