If the window department were discontinued assuming that

Reference no: EM13567513

Data from the income statement of Dray Company for the current fiscal year ended on December 31st and are presented here. Dray purchased all merchandise FOB destination. Prepare an income statement to show the window departments margin, omitting the three line heading.

This income statement must be completed using a general description line followed by 3 distinct columns to the right. There will a total of 14 individual line entries with a final question at the end. Please be advised, the following lines must show a specific entry or total. Those lines are: 2 (middle column), 7 (first column), 8 (middle column), 10 middle column, 11 (far right column), 13 (far right column) and 14 showing a total with a double line under the answer.

Once you have completed the above statement, please answer this question:

If the window department were discontinued, assuming that the other departments of the firm remain unchanged, what would be the effect on net income from operations for the entire business?

Reference no: EM13567513

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