Umm Al Quwain Corporation's capital structure consists of 100,000 shares of common stock. Af December 31,...

 

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Umm Al Quwain Corporation's capital structure consists of 100,000 shares of common stock. Af December 31, 2020 an analysis of the accounts and discussions with company officials revealed the following information: Net Sales revenue $2,000,000 Cost of goods sold 900,000 Purchases 850,000 Purchase discounts 18,000 Purchase return & allowance Beginning Inventory, January 1, 2020 250,000 Ending Inventory, December 31, 2020 150,000 Selling expenses 120,000 Administrative expenses 180,000 Dividend revenue Interest expense 15,000 Dividends declared Earthquake loss (net of tax) Unearned service revenue Interest payable Accounts receivable Accounts payable Retained earnings, January 1, 2020 The amount of income taxes applicable to ordinary income was $30,000, excluding the tax effect of the earthquake loss which amounted to $3,000. Required: 1. Compute the amount of cost of goods sold. Prepare a multiple-step income statement for 2020. Compute earnings per share (EPS) (Ctrl) - 4 Prepare retained earnings statement for 2020. Umm Al Quwain Corporation's capital structure consists of 100,000 shares of common stock. Af December 31, 2020 an analysis of the accounts and discussions with company officials revealed the following information: Net Sales revenue $2,000,000 Cost of goods sold 900,000 Purchases 850,000 Purchase discounts 18,000 Purchase return & allowance Beginning Inventory, January 1, 2020 250,000 Ending Inventory, December 31, 2020 150,000 Selling expenses 120,000 Administrative expenses 180,000 Dividend revenue Interest expense 15,000 Dividends declared Earthquake loss (net of tax) Unearned service revenue Interest payable Accounts receivable Accounts payable Retained earnings, January 1, 2020 The amount of income taxes applicable to ordinary income was $30,000, excluding the tax effect of the earthquake loss which amounted to $3,000. Required: 1. Compute the amount of cost of goods sold. Prepare a multiple-step income statement for 2020. Compute earnings per share (EPS) (Ctrl) - 4 Prepare retained earnings statement for 2020.

Answer rating: 100% (QA)

A Calculation for cost of goods sold Beginning inventory January 1 2020 250000 Purchases 850000 Purc... View the full answer