Reference no: EM133138249

Question - Etobicoke Long-Term Care Hospital Services - has provided the following data as of December 31, 2021

Salaries and benefits expenses 5,760,000

Medical supplies and drugs expenses 3,461,000

Insurance 345,000

Net Resident Service Revenue $15,830,650

Medical equipment rental expenses 267,300

Depreciation and amortization 435,000

Interest on loan 154,000

Utilities expense 134,600

Property taxes 254,000

Miscellaneous general and administrative expenses 478,600

Other revenue 368,000

ELTCHS- income tax rate is 40% and shareholders are paid a dividend of 10% based on after-tax income.

Required -

A) Make a properly formatted Income Statement for the year 2021.

B) Calculate the balance of Retained earnings as of December 31, 2021.

C) Calculate ELTCHS profit margin.