.....Sale of goods sold$511,000Gross profit......Operating expenses: Depreciation expensesOther operating expensesTotal operating expenses$220,500$39,200.....105,000144,200$76,300Income before income tax21,700Income tax expense$54,600Net income......Changes in the balances of selected accounts from the beginning to the end of the current year are as follows:In
Sales .....
$511,000
Cost of merchandise sold
290,500
Gross profit ......
Operating expenses:
Depreciation expense
Other operating expenses
Total operating expenses
$220,500
$ 39,200
.....
105,000
144,200
$ 76,300
Income before income tax
21,700
Income tax expense
$ 54,600
Net income ..
....
Changes in the balances of selected accounts from the beginning to the end of the
current year are as follows:
Increase
(Decrease)
Accounts receivable (net) .
$(11,760)
3,920
Inventories .....
Prepaid expenses
Accounts payable (merchandise creditors)
Accrued expenses payable (operating expenses)
Income tax payable......
(3,780)
(7,980)
1,260
(2,660)
