Here is a proposed income statement of a childrens clothing store: List and describe any shortcomings of
Question:
Here is a proposed income statement of a children’s clothing store:
List and describe any shortcomings of this statement.
Transcribed Image Text:
Kids 2 Klad Statement of Profit and Loss, December 31, 20X1 Revenues: Sales $1,300,000 Increase in market value of land and building 50,000 Cash received from loan 200,000 S1,550,000 Deduct expenses: Advertising $ 100,000 Sales commissions 60,000 Utilities 20,000 Wages 150,000 Dividends 200,000 Cost of clothes purchased 800,000 1,330,00X0 Net profit S 220,0XX)
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Related Book For
Introduction to Management Accounting
ISBN: 978-0133058789
16th edition
Authors: Charles Horngren, Gary Sundem, Jeff Schatzberg, Dave Burgsta
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