Siskiyou, Inc.

has total current assets of $1,200,000; total current liabilities of $500,000; and long-term
assets of $800,000. How much is the firm's Total Liabilities & Equity?

$1,800,000
$2,000,000
$2,500,000
$1,300,000
Rogue Industries reported the following items for the current year: Sales = $3,000,000; Cost of Goods
Sold = $1,500,000; Depreciation Expense = $170,000; Administrative Expenses = $150,000; Interest
Expense = $30,000; Marketing Expenses = $80,000; and Taxes = $300,000. Rogue's net profit margin is
equal to
35.67%.
50.00%.
25.67%.
36.67%.

What information does a firm's income statement provide to the viewing public?

a complete listing of all of a firm's cash receipts and cash expenditures for a defined
period of time
a report of revenues and expenses for a defined period of time
a report of investments made and their cost for a specific period of time
an itemization of all of a firm's assets and liabilities for a defined period of time

The basic format of an income statement is

Assets - Liabilities = Profits.
Sales - Expenses = Profits.
Sales - Liabilities = Profits.
Income - Expenses = EBIT.