Sheffield Co. had sales revenue of $550,900 in 2020. Other items recorded during the year were:...

Sheffield Co. had sales revenue of $550,900 in 2020. Other items recorded during the year were:

Cost of goods sold		$325,700
Salaries and wages expense		127,600
Income tax expense		26,050
Increase in value of company reputation		17,540
Other operating expenses		12,050
Unrealized gain on value of patents		22,240

Prepare a single-step income statement for Sheffield for 2020. Sheffield has 100,700 shares of stock outstanding. (Round earnings per share to 2 decimal places, e.g. 1.48.)

Expert Solution

Based on the information available in the question, we can answer as follows:-

Carmen Camry
Income Statement
Particulars	Amount	Amount

Sales Revenue	550,900
Total Revenues		550,900

Cost of Goods sold	325,700
Salaries and wages expense	127,600
Income Tax expense	26,050
Other Operating expenses	12,050
Total Expenses		491,400

Net Income		59,500

Please note that the increase in value of the company's reputation and the unrealized gain on the value of the patents are not reported on a Single step income statement.

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ekkarill92 answered 3 years ago

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