PROBLEM 3-2 WORKING WITH INCOME STATEMENT Prepare an income statement and a common-sized income statement from the following information 6 DATA 7 Sales 8 Cost of goods sold 9 General &administrative expenses 10 Deprociation expenses 11 Interest expense 12 Income taxes $525,000 200,000 62,000 8,000 12,000 97.200 14 SOLUTION 15 Income Statement and Common-Sized Income St 16 Sale Cost of goods sold 18 Gross peofits 19 General& administrative expenses 20 Depeeciation expense 1 Total operating expense 22 Openting income (EBIm 23 Interest expense 24 Emings betore taxes 25 : Taxes (40%) Deanload and open t hook named 3Start. Inpontani sute All caleulatiens must be shown using eell seferences Do NOT enter 29 sumerical valets in the cells 02 n ell C16,inpat the sales mount.11 peis C17.input the cest of goods seld ameunt tt pelst) Note The ostgut ofthe fuBoltion you typed in this cell is espected positiv 2 2 In cell C16, input the sales amount. 1.000 In cell C17, input the cost of goods sold amount. Note: The output of the expression or function you typed in this cell is expected as a positive number. 1.000 4 In cell C18, calculte the gross profits. 1.000 In cell B19, input the general & administrative expenses amount. Note: The output of the expression or function you typed in this cell is expected as a positive number. 5 1.000 In cell B20, input the depreciation expense amount. Note: The output of the expression or function you typed in this cell is expected as a positive number. 1.000 7 In cell C21, calculate the total operating expense 1.000 8 In cell C22, calculate the operating income (EBIT) 1.000 In cell C23, input the interest expense amount. Note: The output of the expression or function you typed in this cell is expected as a positive number. 1.000 10 In cell C24, calculate the earnings before taxes. 1.000 G Focus Possible In cell C25, input the taxes amount. Note: The output of the expression or function you typed in this cell is expected as a positive number. 1.000 12 In cell C26, calculate the net income. 1.000 To prepare the common-sized income statement, find the ratio between each account in the income statement and the sales amount. In cell D16, divide the sales amount by the sales datum in cell C7 and make an absolute cell reference to the sales datum for copying and pasting purposes. 13 1.000 14 Copy cell D16 and paste onto the cell ranges D17:D18 and D21:D26. 2.000 In cell D19, divide the general & administrative expenses amount by the sales datum and make an absolute cell reference to the sales datum for copying and pasting purposes 15 1.000 16 Copy cell D19 and paste onto cell D20. 1.000 Save the workbook. Close the workbook and then exit Excel. Submit the workbook as directed. 17 0.000 Total Points 16.000