Provo Water Products had sales during 2011 of $895,000. Provo's gross profit percentage is 55 percent. Purchases of inventory during 2011 totaled $466,250 and a count of inventory on hand at the end of the year totaled $189,500. Selling expenses are 18 percent of sales and general and administrative expenses are equal to 80 percent of selling expenses. Provo's income tax rate is 30 percent and the company has 60,000 shares of common stock outstanding.
Prepare an income statement, including earnings per share data, for the year ended December 31, 2011.

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The Answer of Provo Water Products had sales during 2011 of $895,000. Provo's gross profit percentage is 55 percent. Purchases of inventory during 2011 totaled $466,250 and a count of inventory on hand at the end of the year totaled $189,500. Selling expenses are 18 percent of sales and general and administrative expenses are equal to 80 percent of selling expenses. Provo's income tax rate is 30 percent and the company has 60,000 shares of common stock outstanding.
Prepare an income statement, including earnings per share data, for the year ended December 31, 2011.

Provo Water Products Had Sales During 2011 of $895,000