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Reformulated income statement

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The following numbers were extracted from a balance sheet (in millions)

Operating assets 547
Financial assets 145
Total liabilities 322

From the liabilities $190 million were deemed to be financing liabilities. So i would like to learn how to reformulate a balance sheet that distinguishes items involved from operations to financial activities.
And a income statement consist of the following line items

Revenue 4356
Cost of goods sold 3487
Operating expenses 428
Interest income 56
Interest expense 132
The firm pays no taxes. Prepare a reformulated income statement that distinguishes items involved in operations from those involved in financing activities

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Solution Summary

Response provides the steps for preparing the reformulated income statement

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I need assistance preparing a reformulated income statement

The following numbers were extracted from a balance sheet (in millions)

Operating assets 547
Financial assets 145
Total liabilities 322

From the liabilities $190 million were deemed to be financing liabilities. So i would like to learn how to reformulate a
Balance sheet that ...

Purchase this Solution


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