JoeBlow Co. had revenue and expenses from ongoing business operations for the current year of $1,000,000 and $700,000, respectively. During the year the company sold a money losing division that had revenues and expenses of $100,000 and $200,000, respectively (these amounts are NOT included in the regular ongoing business revenues and expenses shown above). The division was sold at a small profit of $30,000. Assume all items are subject to a tax rate of 30%. Prepare an income statement for JoeBlow Co. for the current year.
JoeBlow Co. had revenue and expenses from ongoing business operations for the current year of $1,000,000 and $700,000, respectively. During the year the company sold a money losing division that had revenues and expenses of $100,000 and $200,000, respectively (these amounts are NOT included in the regular ongoing business revenues and expenses shown above). The division was sold at a small profit of $30,000. Assume all items are subject to a tax rate of 30%. Prepare an income statement for JoeBlow Co. for the current year.
Income statement refers to those financial statements which showcases the company's revenues and expenses during a particular period. It shows the transformation of the revenues of the company into the net income or net profit.
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