Question :
117.Which of the following not a subtotal or bottom-line figure?
a.
Cost : 1244344
117.Which of the following is not a subtotal or bottom-line figure?
a.
Cost of goods sold
b.
Gross margin
c.
Net income
d.
Income from operations
118.Earnings per share is found on which financial statement?
a.
Statement of retained earnings
b.
Income statement
c.
Balance sheet
d.
Statement of cash flows
119.In which category would office salaries expense be included?
a.
Cost of goods sold
b.
General and administrative expenses
c.
Net sales
d.
Selling expenses
120.Which of the following is not considered a selling expense?
a.
Freight-out expense
b.
Cost of goods sold
c.
Insurance on the sales office
d.
Sales salaries expense
121.Interest paid on debt would be entered on the multistep income statement in the category called
a.
operating expenses.
b.
other revenues and expenses.
c.
selling expenses.
d.
general and administrative expenses.
122.An advantage of the single-step income statement over the multistep form is
a.
its comprehensiveness.
b.
its simplicity.
c.
the amount of information it provides.
d.
its use in computing ratios.
123.Use this information to answer the following question.
Alcorn & Zeto Company
Income Statement
For the Year Ended December 31, 20×7
Revenues
Net sales
$100,000
Dividend income
8,750
Total revenues
$108,750
Costs and expenses
Costs of goods sold
$ 25,250
Selling expenses
10,000
General and administrative expenses
13,750
Interest expense
6,250
Total costs and expenses
55,250
Income before income taxes
$ 53,500
Income taxes
19,500
Net income
$ 34,000
If the income statement were prepared in a multistep form, gross margin from sales would be
a.
$83,500.
b.
$74,750.
c.
$89,750.
d.
$79,750.
124.Use this information to answer the following question.
Alcorn & Zeto Company
Income Statement
For the Year Ended December 31, 20×7
Revenues
Net sales
$97,500
Dividend income
8,750
Total revenues
$106,250
Costs and expenses
Costs of goods sold
$ 30,000
Selling expenses
10,000
General and administrative expenses
13,750
Interest expense
6,250
Total costs and expenses
60,000
Income before income taxes
$ 46,250
Income taxes
19,500
Net income
$ 26,750
If the income statement were prepared in a multistep form, income from operations would be
a.
$46,250.
b.
$36,250.
c.
$37,500.
d.
$97,500.
125.Use this information to answer the following question.
Alcorn & Zeto Company
Income Statement
For the Year Ended December 31, 20×7
Revenues
Net sales
$100,000
Dividend income
9,000
Total revenues
$109,000
Costs and expenses
Costs of goods sold
$ 30,000
Selling expenses
10,000
General and administrative expenses
13,750
Interest expense
6,250
Total costs and expenses
60,000
Income before income taxes
$ 49,000
Income taxes
19,500
Net income
$ 29,500
If the income statement were prepared in a multistep form, other revenues and expenses would total
a.
$9,000.
b.
$6,250.
c.
$15,250.
d.
$2,750.
126.Use this information to answer the following question.
If the income statement were prepared in a multistep form, income before income taxes would be
a.
$48,750.
b.
$33,750.
c.
$52,500.
d.
$40,000.
