Using the Data Provided Below, Determine What Amounts Will Appear

question 1

Essay

Using the data provided below, determine what amounts will appear on the income statement that is prepared by "nature of expenses."
$$\begin{array} { | l | l | } \hline \text { Distribution expense (1) } & 23,000\\\hline \text { Cost of goods sold (2) } & 70 , 000 \\\hline\text { General and administrative expense (3) } & 25 , 000\\\hline\end{array}$$ Note 1 - Distribution costs include $13,000 of employee wages and $10,000 of depreciation.
Note 2 - Cost of goods sold includes $10,000 for depreciation; the remaining amount relates to the net change in inventory and purchases during the year.
Note 3 - General and administrative expenses include $20,000 of employee wages and $5,000 of depreciation.

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Definitions:

Joint Decision Making

A collaborative process where two or more parties come together to make a decision on a particular issue, ensuring that all perspectives and interests are considered.

Groceries

Items of food sold in a grocery store, typically including fresh produce, meats, dairy, and various non-perishable foods.

Medical Care

The provision of services by healthcare professionals to diagnose, treat, and prevent illness, injury, and other physical and mental impairments in individuals.

Information Gatherer

An individual or tool that collects data and information from various sources for analysis or decision-making purposes.