2022 Elias
er Project Summer
Daniela Pino 07/31/22 1:41 PM
Question 5, E12-19A (similar to)
>HW Score: 0%, 0 of 45 points
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The comparative income statement of McCormick Music Co. for the years ended December 31, 2018 and 2017 is as follows:
(Click the icon to view the comparative income statement.)
Requirement
1.
Prepare a comparative common-size income statement for McCormick Music Co. (Round your answers to one-hundredth of a percent, X.XX%.)
McCormick Music Co.
Comparative Common-Size Income Statements
Years Ended December 31, 2018 and 2017
2018
2017
%
%
Total revenue
Expenses:
Cost of goods sold
%
%
Selling and general expenses
%
%
Interest expense
%
%
Income tax expense
%
%
Total expenses
%
%
Net income
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Data table
McCormick Music Co.
Comparative Income Statements
Years Ended December 31, 2018 and 2017
2018
2017
$ 1,075,000 $
915,000
Total revenue
Expenses:
Cost of goods sold
$ 475,000 $
406,250
Selling and general expenses
285,000
261,000
Interest expense
22,500
12,500
Income tax expense
104,500
82,150
Total expenses
887,000
761,900
Net income
$ 188,000 $
153,100
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