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Canine Couture is a specialty dog clothing boutique that sells clothing and clothing accessories for dogs. In 2019, they had gross revenue from sales totaling $86,500. Their operating expenses for this same period were $27,500. If their Cost of Goods Sold (COGS) was 24% of gross revenue, what was their net operating income for the year?
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- Flip or Flop is a retail shop selling a wide variety of sandals and beach footwear. In 2019, they had gross revenue from sales totaling $93,200. Their operating expenses for this same period were $34,000. If their Cost of Goods Sold (COGS) was 21% of gross revenue, what was their net operating income for the year?arrow_forwardPark and West, LLC, provides consulting services to retail merchandisers in the Midwest. In 2019, they generated $720,000 in service revenue. Their total cost (fixed and variable) per client was $2,500 and they served 115 clients during the year. If operating expenses for the year were $302,000 what was their net income?arrow_forwardCPK ** Associates is a mid-size legal firm, specializing in closings and real estate law in the south. In 2019, they generated $945,000 in sales revenue. Their expenses related to this year’s revenue are shown: Based on the information provided for the year, what was their net operating income?arrow_forward
- During May, 2020, Samoul’s Supply Store generated revenues of $180,000. The company’s expenses were as follows: cost of goods sold of $72,000 and operating expenses of $12,000. The company also had rent revenue of $3,000 and a gain on the sale of a delivery truck of $6,000.Samoul’s income from operations for the month of May, 2020 is $117,000. $111,000. $96,000. $180,000.arrow_forwardSuzi Nomro operates Watercraft Supply Company, an online boat parts distributorship that is in its third year of operation. The following income statement was prepared for the year ended October 31, 2019. Watercraft Supply Company Income Statement For the Year Ended October 31, 2019 Revenues: Sales .........................................................$1,350,000 Interest ......................................................15,000 Total revenues .............................................$1,365,000 Expenses: Cost of merchandise sold ......................................$810,000 Selling expenses ..............................................140,000 Administrative expenses .......................................90,000 Interest expense...............................................4,000 Total expenses . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .1,044,000 Net income .......................................................$321,000 Suzi is…arrow_forwardDuring August, 2020, Sheffield’s Supply Store generated net sales of $60100. The company’s expenses were as follows: cost of goods sold of $35000 and operating expenses of $4500. The company also had rent revenue of $1000 and a loss on the sale of a delivery truck of $1700. Sheffield’s operating income for the month of August 2020 is $20600.$21600.$19900.$25100.arrow_forward
- The Following are the accounts of Regina Merchandising for December 31,2019: Sales ₱2,500,000 Salaries Expense 50,000 Supplies Expenses 75,000 Depreciation Expense 60,000 Utilities Expense 40,000 Insurance Expense 20,000 Rent Expense 90,000 Beginning Inventory 50,000 Purhases 1,500,000 Ending Inventory 100,000 Sales Discount 5,000 You were employed by the entity as its bookkeeper in its first year of operations. You are now to prepare the necessary financial statements for the current year. Accordingly, 15% of rent, depreciation and utility expenses pertain to the sales office while the rest pertains to the corporate office. Instructions: 1. How much is the net sales for the year? 2. How much is the cost of sales for the year? 3. How much is the gross…arrow_forwardThe Following are the accounts of Regina Merchandising for December 31,2019: Sales ₱2,500,000 Salaries Expense 50,000 Supplies Expenses 75,000 Depreciation Expense 60,000 Utilities Expense 40,000 Insurance Expense 20,000 Rent Expense 90,000 Beginning Inventory 50,000 Purhases 1,500,000 Ending Inventory 100,000 Sales Discount 5,000 You were employed by the entity as its bookkeeper in its first year of operations. You are now to prepare the necessary financial statements for the current year. Accordingly, 15% of rent, depreciation and utility expenses pertain to the sales office while the rest pertains to the corporate office. Instructions: 1. How much is the net sales for the year? 2. How much is the cost of sales for the year? 3. How much is the gross profit of the year? The Following are the accounts of Regina Merchandising for December 31,2019: Sales ₱2,500,000 Salaries Expense 50,000 Supplies Expenses 75,000 Depreciation Expense 60,000 Utilities Expense 40,000 Insurance Expense…arrow_forwardCameron D., a sole proprietor has the following data in 2021 for the first year of merchandising:Gross sales – P300,000; Cost of Sales – P150,000; Other Income – P50,000; Selling expenses – P20,000; Depreciation expense – P4,000. How much is Cameron’s gross income?arrow_forward
- MENA Corp., registered with BIR in 2019, has the following data for the year 2021: Gross Sales 1,000,000 PWD & SC Discounts given 100,000 Returns and allowance 150,000 Cost of Goods Sold 300,000 Salaries to personnel 250,000 Q2: How much is the gross income? Answer: Pls include solution. Thanks.arrow_forwardThunder Cat Services specializes in training and veterinary services to household pets, such as dogs, birds, lizards, fish, horses, and of course, cats. After the first 11 months of operations in 2021, Thunder Cat has the following account balances:THUNDER CAT SERVICES Trial Balance November 30, 2021Accounts Debits CreditsCash $ 19,400Supplies 1,500Prepaid Rent 7,200Equipment 83,700Buildings 240,000Accounts Payable $ 9,800Deferred Revenue 2,000Common Stock 125,000Retained Earnings 75,500Dividends 9,000Service Revenue 264,000Salaries Expense 65,000Advertising Expense 18,200Utilities Expense 32,300Totals…arrow_forwardAunt Athena’s Catering Service provides catering service for special occasions. During 2019, Aunt Athena performed $140,500 of catering services and collected $110,300 of cash from customers. Salaries earned by Aunt Athena’s employees during 2019 were $40,000. Aunt Athena paid employees $36,500 during 2019. Aunt Athena had $1,300 of supplies on hand at the beginning of the year and purchased and paid for an additional $7,000 of supplies during the year. Supplies on hand at the end of 2019 were $1,700. Other selling and administrative expenses incurred and paid for during 2019 were $5,500. Required: Calculate Aunt Athena’s amount of accrual and cash-basis income for 2019 by completing the table below . ACCRUAL BASIS CASH BASIS Revenues: Catering services Less Expenses: Salaries Supplies Other administrative and selling Net Income…arrow_forward
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