Below is the information related to the company Travel Inc. as of December 31, 2021: Sales Revenue $15,700,000 Rent Revenue 24,000 Interest Revenue 18,000 Cost of Goods Sold 6,350,000 Selling Expenses: Sales Salaries 250,320 Sales Commissions 325,000 Depreciation Expense on Sale Office Furniture & Equipment 75,000 Administrative Expenses: Administrative Salaries 310,000 Depreciation Expense Administrative Equipment 40,000 Insurance Expense Administrative Office 98,000 Loss from Abandonment of Plant Assets 175,000 Gain on Extinguishment of a Debt 30,000 Gain on Disposal of Discontinued Operations 124,000 Unrealized Gain on Available for Sale Investment 40,000 Preferred Dividends declared and paid 100,000 Retained Earnings at 01/01/2021 450,000 Loss on Prior Year adjustment on Allowance for Doubtful Accounts Estimates 85,000

Instructions: Using the information provided above, prepare a Multiple Step Income Statement, Retained Earnings Statement to December 31, 2021. Assume that the average outstanding common stock during the year was 500,000, to determine the EPS. Assume a 30% "Tax Rate" for the computation of "Income Tax Expense".

Answer rating: 100% (QA)

Multiple step income statement Sales 15700000 Cost of goods sold 6350000 Gross Profit 935000... View the full answer