Simple Income Statement The following are selected accounts taken from the adjusted trial balance of the Dibb Company on December 31, 2007:
|
Loss on sale of land |
$5,000 |
Sales (net) |
$198,000 |
|
Cost of goods sold |
130,000 |
Operating expenses |
45,000 |
|
Extraordinary gain (pretax) |
6,000 |
Twelve thousand shares of common stock were outstanding the entire year.
Required
Assuming a 30% income tax rate on all items of income, prepare a 2007 income statement for Dibb Company using (1) a multiple step format and (2) a single step format.