Truko, Inc

question 117

Essay

Truko, Inc. provided the following partial trial balance for the current year. Prepare a multi-step income statement for the year ended December 31. Truko is subject to a 40% income tax rate.
Truko, Inc.
Partial Trial Balance (Selected Accounts)
For the year ended December 31
$$\begin{array} { l r r } \text { Accounts } & \text { Debit } & \text { Credit } \\\text { Dividends } & \$ 2,460 & \\\text { Sales } & & \$ 225,400 \\\text { Dividend Income } & & 3,830 \\\text { Interest Income } & & 1,450 \\\text { Gain on Disposal of Plant Assets } & & 14,810 \\\text { Unrealized Gain on Trading Investments } & & 7,270 \\\text { Cost of Goods Sold } & 90,100 & \\\text { Office Supplies Expense - General Expense } & 4,500 & \\\text { Sales Salaries Expense } & 8,390 & \\\text { Selling Expenses } & 11,210 & \\\text { Accounting and Legal Fees - General Expense } & 2,400 & \\\text { Advertising Expense } & 6,660 & \\\text { Office Salaries Expense-Admin. Expense } & 21,480 & \\\text { Depreciation Expense-General Expense } & 18,600 & \\\text { Interest Expense } & 2,570 & \\\text { Loss on Asset Impairment } & 1,840 &\end{array}$$

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Definitions:

Macromolecule

Large molecules necessary for life, including proteins, nucleic acids, carbohydrates, and lipids.

Compound

A substance formed from two or more elements chemically united in fixed proportions.

Atom

The basic unit of a chemical element, consisting of a nucleus of protons and neutrons, and electrons orbiting the nucleus.

PH

A scale used to specify the acidity or basicity of an aqueous solution, with values ranging from 0 (most acidic) to 14 (most basic).