Prepare Pritchett's Closets & Blinds Income Statement for the year ended December $31,2020.$

At the end of December $31,2020,$ Pritchett's Closets & Blinds accounts are as follows:

 

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Office salaries 30,000 Interest expense 3,000 Depreciation (administration) Cost of Goods Sold 300,000 Income tax expense 35,000 Sales salaries 40,000 Interest income 6,000 Sales 520,000 Advertising expense 10,000 Lease (administration) 3,000 Promotional expenses 2,000 Sales discounts 20,000 Travel expenses 3,000 Rental costs 5,000 2,000 Office salaries 30,000 Interest expense 3,000 Depreciation (administration) Cost of Goods Sold 300,000 Income tax expense 35,000 Sales salaries 40,000 Interest income 6,000 Sales 520,000 Advertising expense 10,000 Lease (administration) 3,000 Promotional expenses 2,000 Sales discounts 20,000 Travel expenses 3,000 Rental costs 5,000 2,000

Answer rating: 100% (QA)

To prepare the income statement for Pritchetts Closets Blinds for the year ended December 31 2020 we will follow the typical format of an income statement which starts with revenues subtracts the cost... View the full answer