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Faith's new company had the following information to complete the Income Statement for October:

Advertising $1,000.00 Quanity Sold 1,000


Insurance Expense $400.00 Supplies Expense $300.00
Miscellanous Expense $1,200.00 Utilities Expense $700.00
Rent Expense $2,500.00 Cost Per Calander Sold $3.00

Faith's Calendar Supply Company


Income Statement
For the Month Ended October 31, 20

Revenue:
Quanity Sold 1,000
Price $10.00
Sales $10,000.00
Less Cost of Merchandise Sold $3,000.00 Note: Cost Per Calendar Sold x Quantity Sold

Gross Profit on Sales $7,000.00

Expenses:
Advertising $1,000.00
Insurance Expense $400.00
Miscellanous Expense $1,200.00
Rent Expense $2,500.00
supplies Expense $300.00
Utilities Expense $700.00

Total Expense $6,100.00

Net Income $900.00

The following month Faith had the following information to complete the Income Statement for Nove
Advertising $2,000.00 Quanity Sold 2,000
Insurance Expense $800.00 Supplies Expense $600.00
Miscellanous Expense $2,400.00 Utilities Expense $1,400.00
Rent Expense $5,000.00 Cost Per Calander Sold $3.00

Faith's Calendar Supply Company


Income Statement
For the Month Ended November 31, 20

Revenue:
Quanity Sold 2,000
Price $10.00
Sales $20,000.00
Less Cost of Merchandise Sold $6,000.00 Note: Cost Per Calendar Sold x Quantity Sold

Gross Profit on Sales $14,000.00

Expenses:
Advertising $2,000.00
Insurance Expense $800.00
Miscellanous Expense $2,400.00
Rent Expense $5,000.00
supplies Expense $600.00
Utilities Expense $1,400.00

Total Expense $12,200.00

Net Income $1,800.00

A year later Faith had the following information to complete the Income Statement for October:
Advertising $2,500.00 Quanity Sold 1,000
Insurance Expense $1,000.00 Supplies Expense $750.00
Miscellanous Expense $3,000.00 Utilities Expense $1,750.00
Rent Expense $6,250.00 Cost Per Calander Sold $7.50
Faith had to raise the price on the calendar since expenses for the company had risen.

Faith's Calendar Supply Company


Income Statement
For the Month Ended November 31, 20

Revenue:
Quanity Sold 1,000
Price $25.00
Sales $25,000.00
Less Cost of Merchandise Sold $7,500.00 Note: Cost Per Calendar Sold x Quantity Sold

Gross Profit on Sales $17,500.00

Expenses:
Advertising $2,500.00
Insurance Expense $1,000.00
Miscellanous Expense $3,000.00
Rent Expense $6,250.00
supplies Expense $750.00
Utilities Expense $1,750.00

Total Expense $15,250.00


Net Income $2,250.00

If Faith had only raised her price to $15, what would have been her Net Income or Net Los
Show your work: Cost Per Calander Sold $7.50

Revenue:
Quanity Sold 1000
Price $15.00
Sales $15,000.00
Cost of Merchandise Sold $7,500.00 Note: Cost Per Calendar Sold x Quantity Sold

Gross Profit on Sales $7,500.00

Expenses:
Advertising $2,500.00
Insurance Expense $1,000.00
Miscellanous Expense $3,000.00
Rent Expense $6,250.00
Supplies Expense $750.00
Utilities Expense $1,750.00

Total Expense $15,250.00

Net Profit or Net Loss -$7,750.00

NOTE: () = Loss