FOUNDATIONS OF FINANCIAL MANAGEMENT BLOCK, HIRT AND DANIELSEN

Problem 2.6, 2.8, 2.21, 3.22, 3.23, 3.24, 4.24, 4.28, 5.11

2.6 Given the following information prepare in good form an income statement for the Dental Drilling Company

Selling and administrative expense

$60,000

Depreciation expense

70,000

Sales

470,000

Interest expense

40,000

Cost of goods sold

140,000

Taxes

45,00

2.8. Prepare in good form an income statement for ATM Cards, Inc. Take your calculations all the way to computing earnings per share.

Sales

$800,000

Shares outstanding

100,000

Cost of goods sold

300,000

Interest expense

20,000

Selling and administrative expense

40,000

Depreciation expense

30,000

Preferred stock dividends

80,000

Taxes

110,000

see attachment