We reviewed the balance sheet for VWV in the prior module. This time we are examining the income statement for the same entity.
VWV Company
Income Statement
For the Period Ending December 31, 20XX
Cost of goods sold
Gross profit
Operating expenses
Lease for office
Advertising and promotion
Property taxes
Payroll taxes
Miscellaneous expenses
Total operating expenses
Operating income
Interest income
Interest expense
Net interest expense
Net income
Use the above income statement to answer the questions below.
Is VWV a manufacturer/reseller or a service company?
Explain the term cost of goods sold in your own words. Why is this item significant?
Does the company have employees?
Does the company own some type of property? Can we tell from looking at the income statement alone or do we need to look at the balance sheet too?
Are earnings per share important information for VWV Company?
How is depreciation computed and what is the purpose of including depreciation expense?
How do the dividends affect the income statement?
How do we know that VWV Company is using the accrual basis of accounting? Hint: Do not forget to look at the balance sheet from the prior module.
Why is the company using the accrual basis of accounting rather than the cash basis?
Comment on operating income versus net income.

Why Choose Us

  • 100% non-plagiarized Papers
  • 24/7 /365 Service Available
  • Affordable Prices
  • Any Paper, Urgency, and Subject
  • Will complete your papers in 6 hours
  • On-time Delivery
  • Money-back and Privacy guarantees
  • Unlimited Amendments upon request
  • Satisfaction guarantee

How it Works

  • Click on the “Place Order” tab at the top menu or “Order Now” icon at the bottom and a new page will appear with an order form to be filled.
  • Fill in your paper’s requirements in the "PAPER DETAILS" section.
  • Fill in your paper’s academic level, deadline, and the required number of pages from the drop-down menus.
  • Click “CREATE ACCOUNT & SIGN IN” to enter your registration details and get an account with us for record-keeping and then, click on “PROCEED TO CHECKOUT” at the bottom of the page.
  • From there, the payment sections will show, follow the guided payment process and your order will be available for our writing team to work on it.