Question: Java Company prepares quarterly and year to date interim reports. The interim income statement for the quarter ended March 31, 2020 is as follows: SALES
Java Company prepares quarterly and year to date interim reports. The interim income statement for the quarter ended March 31, 2020 is as follows:
SALES 7,500,000.00
COST OF SALES 4,500,000.00
GROSS INCOME 3,000,000.00
DIVIDEND REVENUE 300,000.00
TOTAL INCOME 3,300,000.00
DISTRIBUTION COSTS (900,000.00)
GENERAL EXPENSES (500,000.00)
DEPRECIATION (400,000.00)
INTEREST EXPENSE (100,000.00)
INCOME TAX (400,000.00)
NET INCOME 1,000,000.00
On June 30, 2020, the accountant completed a worksheet in preparing the year to date income statement. The worksheet showed the following income statement accounts.
Sales P20,000,000.00
Interest Revenue P250,000.00
Dividend Revenue P500,000.00
Cost of Sales P11,500,000.00
Distribution Costs P2,500,000.00
General Expenses P1,100,000.00
Depreciation P700,000.00
Interest Expense P300,000.00
Income Tax Expense P1,300,000.00
make an income statement for the first six months of 2020 and an interim income statement for the second quarter 2020.
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