okmarks Window Help wwwawhalekscom ACC100 ALEKS WEEK 6 Creat

okmarks Window Help @www-awh.aleks.com ACC100 ALEKS WEEK 6 Creating a basic equity state. ALEKS purchase instructions FIN 360-Spring 2018-FL ALEKS HELP I) WORKSHEET:® INBOX REPORT OPTIONS Gradebook Calendar Dictionary Calculator Assignments Question #14 Moore Company has the following account balances, extracted from its multiple-step income statement fo Required: Compute the missing amounts. Sales Sales Returns and Allowances Sales Discounts Net Sales Cost of Goods Sold Gross Profit Selling Expenses General and Administrative Expenses Total Operating Expenses Net Income 122,900 4,600 56,600 57,000 12,200 22,500 Clear Undo Help Next>> I don\'t know SCORE

Solution

First we can compute Net Sales using following equation,

Net Sales = Gross Profit+Cost of Goods Sold

Net Sales = $57,000 + $56,600 = $113,600

Then,

Sales - Net Sales = Sales Return & Allowances +Sales Discount

$122,900 -$113,600 = Sales Return & Allowances +$4,600

$9,300 = Sales Return & Allowances +$4,600

Sales return & Allowances = $9,3600 -$4,600 = $4,700

Total Operating Expenses = Selling Expenses + General & Administrative Expenses

$22,500 = Selling Expenses +$12,200

Selling Expenses = $22,500 -$12,200 = $10,300

Net Income = Gross Profit -Total Operating Expenses

Net Income = $57,000 - $22,500 = $34,500