Question

Rebecca Department Stores reported the following amounts in its adjusted trial balance prepared as of its December 31 year-end: Interest Revenue, $966 Sales Revenue, $28,656 Administrative Expenses, $596 Cost of Goods Sold, $11,213 Delivery (freight-out) Expense, $689 Income Tax Expense, $1,189 Interest Expense, $1,492 General Expenses, $1,311 Sales Discounts, $2,318 Sales Returns and Allowances, $932 .Rebecca’s operating expenses are $

Answer 1

operating expenses $2,596

Step-by-step explanation:

Rebecca Department Stores

Income Statement

For the Year Ended December 31, 202x

Sales revenue:

• Sales Revenue $28,656
• Sales Discounts -$2,318
• Sales Returns and Allowances -$932
• Net sales revenue $25,406

Cost of goods sold -$11,213

Gross profit $14,193

Operating expenses:

• Delivery (freight-out) Expense -$689
• Administrative Expenses, -$596
• General Expenses -$1,311 -$2,596

Income from operations $11,597

Non-operating revenues and expenses

• Interest Revenue $966
• Interest Expense -$1,492 -$526

Net income before taxes $11,071

Income Tax Expense -$1,189

Net income after taxes $9,882