Nutboy Theater Company reported the following single-step income statement. Prepare a multiple-step income statement that distinguishes the financial results of the local theater company's core and peripheral activities. Also, calculate the net profit margin using the company's core revenues and compare it to the 8 percent earned in 2012. In which year did the company generate more profit from each dollar of sales?
NUTBOY THEATER COMPANY
Income Statement
For the year ended December 31, 2013
Revenues
Ticket Sales..................................................... $50,000
Concession Sales................................................. 2,500
Interest Revenue................................................... 200
Other Revenue....................................................... 50
Total revenues................................................... 52,750
Expenses
Salaries and Wage Expense ....................................30,000
Advertising Expense............................................. 8,000
Utilities Expense.................................................. 7,000
Income Tax Expense............................................. 2,500
Total Expenses................................................... 47,500
Net Income...................................................... $ 5,250