A) Prepare a Summary Operating Statement AND B) an income statement that would b
ID: 2573348 • Letter: A
Question
A) Prepare a Summary Operating Statement AND
B) an income statement that would be sent to stockholders
use this information:
room sales $1,053,890
food and beverage sales 524,570
rentals & other income 19,033
payroll & other expeneses: rooms 334,356
cost of food sales 178,310
payroll & other expenses: F&B 258,883
administrative and general 164,181
marketing 67,868
property operations and maintenance 61,554
utilities 47,312
management fees 20,000
rent 28,500
property taxes 45,324
insurance (property & liability) 6,914
interest 192, 153
depreciation 140,000
amortization 6,000
income taxes expenses 12,000
note: the company estimates its replacement reserve for the period to be $15,000
Explanation / Answer
Summary Operating Statement and Income Statement:
room sales $1,053,890
payroll & other expeneses: rooms 334,356
cost of food sales 178,310
administrative and general 164,181
marketing 67,868
property operations and maintenance 61,554
utilities 47,312
management fees 20,000
rent 28,500
property taxes 45,324
insurance (property & liability) 6,914
food and beverage sales 524,570
Revenue: $1,578,460room sales $1,053,890
food and beverage sales $524,570 Cost of Goods sold: $ 771,549
payroll & other expeneses: rooms 334,356
cost of food sales 178,310
payroll & other expenses: F&B 258,883 Gross Profit $806,911 Selling general and administrative expenses: $441,653administrative and general 164,181
marketing 67,868
property operations and maintenance 61,554
utilities 47,312
management fees 20,000
rent 28,500
property taxes 45,324
insurance (property & liability) 6,914
Operating income $365,258 Other Expense (amortisation$6000) $146000 (Depreciation $140000) Interest Expense $192,153 Other Income (rentals & other income 19,033) $19033 Pretax Income $46,138 Income taxes $12000 Other after tax adjustments(Transfer to replacement reserve) $15000 Net Income from Continuing operations $19,138Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.