5-43 s in part (1) 55.9 (L04, 6), AP In its income statement for the...
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5-43 s in part (1) 55.9 (L04, 6), AP In its income statement for the year ended December 31, 2022, Darren Company reported the following condensed data. Prepare multiple-step income statement and calculate profitability ratios. Salaries and wages expense $465,000 Loss on disposal of plant assets 83.500 Cost of goods sold 987.000 Sales revenue 2,210,000 Interest expense 71,000 Income tax expense 25,000 Interest revenue 65.000 Sales discounts 160,000 Depreciation expense 310,000 Utilities expense 110,000 Instructions a. Prepare a multiple-step income statement. b. Calculate the profit margin and gross profit rate. c. In 2021, Darren had a profit margin of 5%. Is the decline in 2022 a cause for concern? (Ignore income tax effects.)
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