Multi-Step Income Statement

The net income for Spencer is $192,000. The total impact of the income statement on the balance sheet will be an increase of $219,000 on each side. Retained earnings will increase by $192,000. Liabilities will increase by $27,000. The assets of the company rose $219,000. The operating income, or earnings before interest, tax, adjustments, is also $219,000.

Not all of the sales were paid for in cash. The cash provided by operations is $148,000. This is less than the operating income of $219,000. The difference of $71,000 would be sales not paid for in cash but by debt, normally accounted for in accounts receivable.

Neither was all of the company's invent

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Approximate Word count = 483
Approximate Pages = 2 (250 words per page)

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