Income statement , Accounting Basics

Astra Company sells financial calculators and offers instruction on their use. During its first year it expects to sell 3000 calculators at $30 each and offer 5000 hours of instruction at a "tuition" of $8 an hour. Astra pays $23 for each calculator and has two employees who give instruction on calculator use and are paid $18000 each in salary. Astra has a $20000 bank loan outstanding for the entire year at 8% and has depreciation expense of $2000. If they pay income tax at a rate of %15 and have 100 shares of common stock, calculate their Earnings per share. base it on a "good firm" income statement and assume $3000 in common stock dividends.
Posted Date: 8/29/2012 9:01:10 PM | Location : United States







Related Discussions:- Income statement , Assignment Help, Ask Question on Income statement , Get Answer, Expert's Help, Income statement Discussions

Write discussion on Income statement
Your posts are moderated
Related Questions
2 deprecation on equipment is calculated at 10% per annum on cost price new equipment for R400 was purchased on 1 December 2012 and has been recorded

Acme Inc. has total liabilities of $120,000, total sales of $80,000, net income of $12,000, current assets of $90,000 and total assets of $150,000. What is the debt to equity rat


Ryan's Express has total credit sales for the year of $178,000 and estimates that 3% of its credit sales will be uncollectible. Record the end-of-period adjusting entry on Decemb

Q. Procedure of recording business transactions? The raw information of accounting is the business transactions. We documented the transactions in section 1 as increases or dec

state why carriage inwards is stated on the trading account

Your client, Hope, of Hope's Country Corner, is curious about two events will influence both taxable and financial income. The first event involves the purchase of pottery-making e



A $9,000 loan to be repaid in full at the end of five years. Interest on the loan is payable quarterly. The interest rate is 8% compounded quarterly. What is the present value