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Sales Less: Sales Returns & Allowances Net Sales Cost of goods sold: Completed units 50,000 Ending

inventory 10,000 Gross profit on sales Selling expenses: Advertising Sales Commission Miscellaneous selling expenses General and administrative expenses: Officers salaries Miscellaneous general and administrative expenses Depreciation expenses Income before income tax Income tax Net Incoem after taxes

4970000 -27500 4942500 4010000 -802000

3208000 8150500

110000 52300 600000 321000 33000 281000

762300

354000

1116300 7034200 2813680 4220520