Question

Presented below is information for Cullumber Co. for the month of January 2022.

Cost of goods sold $201,500
Rent expense $33,900
Sales discounts 10,000
Freight-out 6,300
Insurance expense 13,400
Sales returns and allowances 17,000
Salaries and wages expense 61,200
Sales revenue 400,000
Income tax expense 5,300
Other comprehensive income (net of $400 tax) 2,000
Prepare a comprehensive income statement.

Answer 1

Cullumber Co.

Comprehensive income statement for the month ended January 2022.

$

Sales revenue 400,000

Less Sales returns and allowances (17,000)

Net Sales 383,100

Less Cost of goods sold (201,500)

Gross Profit 181,500

Less Expenses

Rent expense 33,900

Sales discounts 10,000

Freight-out 6,300

Insurance expense 13,400

Salaries and wages expense 61,200

Income tax expense 5,300 (130,100)

Profit for the Year 51,400

Other comprehensive income 2,000

Total Comprehensive income 53,400

Step-by-step explanation:

The Comprehensive income statement for the month ended January 2022 has been prepared above.