Scribd Logo
Upload

Welcome to Scribd!

  • 73 views

    Chapter 8 Problem 9

    Uploaded by

    Erica Castro
    Marissa Babilonia Health Store had net sales of $9,410,000 for the year ended December 31, 2021. Its cost of goods sold was $6,500,000, resulting in a gross profit of $2,910,000. Total operating expenses were $3,340,000, including selling expenses of $1,580,000 and administrative expenses of $1,760,000. This led to an operating loss of $430,000 and a net loss of $430,000 for the year.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Chapter 8 Problem 9

    Uploaded by

    Erica Castro
    73 views2 pages
    Marissa Babilonia Health Store had net sales of $9,410,000 for the year ended December 31, 2021. Its cost of goods sold was $6,500,000, resulting in a gross profit of $2,910,000. Total operating expenses were $3,340,000, including selling expenses of $1,580,000 and administrative expenses of $1,760,000. This led to an operating loss of $430,000 and a net loss of $430,000 for the year.

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Marissa Babilonia Health Store had net sales of $9,410,000 for the year ended December 31, 2021. Its cost of goods sold was $6,500,000, resulting in a gross profit of $2,910,000. Total operating expenses were $3,340,000, including selling expenses of $1,580,000 and administrative expenses of $1,760,000. This led to an operating loss of $430,000 and a net loss of $430,000 for the year.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    73 views2 pages

    Chapter 8 Problem 9

    Uploaded by

    Erica Castro
    Marissa Babilonia Health Store had net sales of $9,410,000 for the year ended December 31, 2021. Its cost of goods sold was $6,500,000, resulting in a gross profit of $2,910,000. Total operating expenses were $3,340,000, including selling expenses of $1,580,000 and administrative expenses of $1,760,000. This led to an operating loss of $430,000 and a net loss of $430,000 for the year.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 2

    Problem #9 8-27

    Marissa Babilonia Health Store

    Income Statement

    For the Year Ended Dec. 31, 2021

    Net Sales

    Gross Sales 9,810,000

    Less: Sales Returns&Allowances 260,000

    Sales Discount 140,000 400,000

    Net Sales 9,410,000

    Cost of Sales

    Merchandise Inventory, 1/1/2021 1,160,000

    Purchases 6,710,000

    Less: Purchases Returns & Allowances 250,000

    Purchases Discounts 180,000 430,000

    Net Purchases 6,280,000

    Transportation In 100,000

    Net Cost of Purchases 6,380,000

    Goods Available for Sale 7,540,000

    Less: Merchandise Inventory, 12/31/2021 1,040,000

    Cost of Sales 6,500,000

    Gross Profit 2,910,000

    Operating Expenses

    Selling Expenses

    Salaries Expense-Selling 960,000

    Transportation Out 260,000

    Advertising Expense 150,000

    Depreciation Expense-Store Equipment 140,000

    Selling Supplies Expense 70,000

    Total Selling Expenses 1,580,000

    Administrative Expenses

    Salaries Expense-General 1,130,000


    Depreciation Expense-Office Equipment 110,000

    Office Supplies Expense 430,000

    Miscellaneous Expense 90,000

    Total Administrative Expenses 1,760,000

    Total Operating Expenses 3,340,000

    Operating Loss -430,000

    Finance Cost

    NET LOSS -430,000

    You might also like