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1. Using the Ledger balances of Drelix Enterprise, Prepare its Income statement
Cost of Sales of Product A
Cost of Sales of Product B
Cost of Sales of Services
Sales Revenue, Product A Sales Revenue, Product B Service revenue Product Returns -
220,790
195,733
275,000
550,000
335,700
476,000
-19,995
Interest Paid
Taxes paid.
General and Admin Expenses
Advertising Expense
Non- management Salaries
Research Expenses
Operations Expense
DRELIX ENTERPRISE
INCOME STATEMENT
550,000
335,700
476,000
-19,995
1,341,705
220,790
195,733
275,000
691,523
650,182
Operating Expenses
General and Admin Expenses
Advertising Expense
Non- management Salaries
Research Expenses
Operations Expense
75,347
135,897
45,455
87,876
333,777
678,352
30,453
-58,623
30,453
-89,076
2. Complete the Given Income Statement using 32% as the rate of tax on income.
INCOME STATEMENT
30,453
123,987
75,347
135,897
45,455
87,876
333,777
746,000
276,960
476,453
-32,567
1,466,846
567,843
899,003
Operating Expenses
General & Administrative
Sales & Marketing
Non- Management Salaries
Operations Expense
Total Operating Expenses
Income Before Taxes
Taxes Paid
Net Income
123,456
255,768
19,876
154,678
553,778
345,225
110,472
234,753
22. Calculate the simple interest and compound interest earned for each
of the investments using the information from the table.
Amount
invested
25,000
250,000
2,390,000
750,000
SIMPLE INTEREST
a. i=Prt
b.
c.
d.
interest
rate
2
3.5
7
compounding
period
annual
quarterly
monthly
Length of
investment
2 years
1 year
18 months
annually
3 years
25000 *.02*2
250,000*.035*1
2,390,000*.07*1.5
750,000*.05*3
112,500
1,000
8,750
250,950
112,500
COMPOUND INTEREST
a. FV = P (1+r/n)nt
i=FV-P
25,000 (1+.02)2
26,010-25,000
b. FV = P (1+r/n)nt
i=FV-P
250,000(1+.035/4)4
258,865-250,000
c. FV = P (1+r/n)nt
i=FV-P
2,390,000 (1+.07/12)18
2,390,000 -2,653,640.90
simple
interest
1,000
8,750
250,950
FV=26010
1,010
258,865.00
8,865.00
2,653,640.90
263,640.90
d. FV = P (1+r/n)nt
i=FV-P
750,000(1+.05/1)3
868,222.50 -750,000
868,222.50
118,222.50
compound
interest
1,010
8,865.00
263,641
118,223
1. Using the Ledger balances of Drelix Enterprise, Prepare its Income statement
Cost of Sales of Product 1
Cost of Sales of Product 2
Cost of Sales of Product 3
Cost of Sales of Services
Sales Revenue, Product 1
Sales Revenue, Product 2
Sales Revenue of Product 3
Product Returns
144,876
285,123
254,222
195,000
855,343
755,999
398,213
-23,995
DRELIX ENTERPRISE
INCOME STATEMENT
855,343
755,999
398,213
476,000
-23,995
2,461,560
144,876
285,123
254,222
684,221
1,777,339
Operating Expenses
General and Admin Expenses
Advertising Expense
Non- management Salaries
Research Expenses
Operations Expense
77,843
299,358
65,488
97,976
313,767
854,432
33,453
889,454
143,958
745,496
Interest Paid
Taxes paid.
Service revenue
General and Admin Expenses
Advertising Expense
Non- management Salaries
Research Expenses
Operations Expense
33,453
143,958
556,005
77,843
299,358
65,488
97,976
313,767
2. Complete the Given Income Statement using 28% as the rate of tax on income.
INCOME STATEMENT
999,435
678,433
376753
-29,587
2,025,034
877,924
1,147,110
Operating Expenses
General & Administrative
Sales & Marketing
Non- Management Salaries
Operations Expense
Total Operating Expenses
Income Before Taxes
Taxes Paid
Net Income
376753
2025034
1147110
103,576
235,778
17,986
124,577
481,917
665,193
186,254
478,939
481,917
665193
186,254
478939
235,778
22. Calculate the simple interest and compound interest earned for each
of the investments using the information from the table.
Amount
invested
77,000
350,000
2,380,000
350,000
SIMPLE INTEREST
a. i=Prt
b.
c.
d.
interest
rate
3
4.5
5
compounding
period
annual
quarterly
monthly
Length of
investment
3 years
2 years
18 months
annually
4 years
77000 *.03*3
350,000*.045*2
2,380,000*.05*1.5
350,000*.07*4
6,930
31,500
178,500
98,000
COMPOUND INTEREST
a. FV = P (1+r/n)nt
i=FV-P
b. FV = P (1+r/n)
nt
77,000 (1+.02)3
84139.98 - 77000
350,000(1+.045/4)8
84,139.98
7,140
382,768.62
simple
interest
6,930
31,500
178,500
98,000
i=FV-P
382768.62-350,000
c. FV = P (1+r/n)nt
i=FV-P
2,390,000 (1+.07/12)18
2,390,000 -2,653,640.90
d. FV = P (1+r/n)nt
i=FV-P
750,000(1+.05/1)3
868,222.50 -750,000
32,768.62
2,653,640.90
273,640.90
868,222.50
518,222.50
DRELIX ENTERPRISES
Income Statement
855,343
755,999
398,213
556,005
-23,995
2,541,565
144,876
285,123
254,222
195,000
879,221
1,662,344
Operating Expenses
General and Admin Expenses
Advertising Expense
Non- management Salaries
Research Expenses
Operations Expense
77,843
299,358
65,488
97,976
313,767
854,432
33,453
774,459
143,958
630,501
compound
interest
7,140
32,768.62
273,641
518,223
0.004166667