From the following information, prepare an income statement for Notem, Inc., for the year ended December 31, 2003. (HINT: Net income is $119,100.) Assume that there are 10,000 shares of capital stock outstanding.

Gross Sales Revenue

$3,625,000

Income Taxes

140,000

Cost of Goods Sold.

2,415,000

Sales Salaries Expense

410,000

Rent Expense (Selling)

16,000

Payroll Tax Expense (Selling)

3,100

Entertainment Expense (Selling).

2,000

Miscellaneous Selling Expenses

7,800

Miscellaneous General and Administrative Expenses.

$5,400

Automobile Expense (Selling)

$3,500

Insurance Expense (General and Administrative)

1,900

Interest Expense .

46,000

Interest Revenue. .

3,000

Sales Returns

$10,000

Advertising and Promotion Expense

199,000

Insurance Expense (Selling

17,000

Delivery Expense (Selling)

3,100

Office Supplies Expense (General and Administrative).

8,000

Utilities Expense (General and Administrative) .

1/4/1903

Administrative Salaries Expense

$180,000

Fire Loss (net of tax)

40,000