Reconstruct a multiple-step income statement

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Reference no: EM13553556

At the end of 2010, vandals destroyed your financial records. Fortunately, the controller had kept certain statistical data related to the income statement, as follows:

a. Cost of goods sold was $2 million.

b. Administrative expenses were 20% of the cost of sales but only 10% of sales.

c. Selling expenses were 150% of administrative expenses.

d. Bonds payable were $1 million, with an average interest rate of 11%.

e. The tax rate was 48%.

f. 50,000 shares of common stock were outstanding for the entire year.

Required

From the information given, reconstruct a multiple-step income statement for the year. Include earnings per share.

Reference no: EM13553556

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