The following is information from Crystal Companys adjusted

The following is information from Crystal Company\'s adjusted trial balance at December 31, 2017: Debit $77,000 102,000 68,000 461,400 Credit Cash Notes receivable Merchandise inventory Equipment Accumulated depreciation- equipment Unearned revenue Notes payable L. Crystal, capital L. Crystal, drawings Interest revenue Rent revenue Sales Advertising expense Cost of goods sold Depreciation expense Freight out Insurance expense Interest expense Salaries expense Sales discounts Sales returns and allowances $138,420 7,400 218,420 233,000 156,000 11,000 23,000 1,970,000 53,000 850,000 46,140 25,000 15,000 10,300 670,000 9,400 58,000 $2,601,240 $2,601,240

Solution

INCOME STATEMENT Particulars Amount Amount Revenue Sales Revenue $      19,70,000 Less: Sales Discount $              9,400 Less: Sales return and allowance $            58,000 Net Sales $      19,02,600 Interest Revenue $            11,000 Rent Revenue $            23,000 Total Revenue and Gains $      19,36,600 Less : Expenses & Losses Cost of Goods Sold $            8,50,000 Advertising Expenses $               53,000 Depreciation Expenses $               46,140 Freight Out $               25,000 Insurance Expenses $               15,000 Interest Expenses $               10,300 Salaries Expenses $            6,70,000 Total Expenses $      16,69,440 Net Income $        2,67,160