Decher Automotives

Revenues 1,000,000
Merchandise inventory, 1/1 650,000
Purchase 460,000
Merchandise available for sale 1,110,000
Ending inventory 440,000
Cost of good sold 670,000
Gross Profit 330,000
Administrative expense 62,000
Selling expenses 43,000
Operating income 225,000
Dividend income 10,000
Interest expense 20,000
Income before Income Taxes 215,000
Income Taxes 100,000
Flood loss (net of tax) 30,000
Net income 85,000
 Decher Automotives
Revenue
Sales 1,000,000
Dividend income 10,000
Total revenue 1,010,000

Expenses
Administrative expense 62,000
Income tax 100,000
Interest expense 20,000
Flood loss 30,000
Purchases 460,000
Selling expense 43,000
Total expense 715,000
Net income 295,000
 LESKY CORPORATION
Revenue
Revenue from sales 362,000
Cost of goods sold 242,000
Gross profit 120,000
Selling expense 47,000
Administrative and general expenses 11,400
Operating income 61,600
Rental income 1,000
Interest 2,400
Interest expense (2,200)
Income before income tax 62,800
Federal and state income taxes 20,300
Net income 42,500