Kellogg Company is the world's leading producer of ready-to-eat cereal and a leading producer of grain-based convenience foods such as frozen waffles and cereal bars. Suppose the following items were taken from its 2017 income statement and balance sheet. (All dollars are in millions.)

Instructions
(a) In each case, identify whether the item is an asset (A), liability (L), stockholders' equity (SE), revenue (R), or expense (E).
(b) Prepare an income statement for Kellogg Company for the year ended December 31, 2017.

Transcribed Image Text:

$5,481Bonds payable $4,835 910 12,575 Accounts payable 1,077 105 Income tax expense 498 Retained earnings Cost of goods sold Selling and administrative expenses 7,184 3,390 Inventory Sales revenue Cash Notes payable Interest expense 334 44_ 295 Common stock