prepare a multi-step income statement
Debits: Cash – $33,470, A/R – $37,170, inventory – $48,470, supplies – $8,970, Equipment – $139,940, sales returns & allowances – $4200, COGS – $495,400, salaries and wage expenses – $138,120, advertising expense – $27,700, utilities expense – $15,880, maintenance/repair expense – $12,100, delivery expense – $16,700, rent expense – $25,300. Total of debits: $1,003,420
Credits: accumulated depreciation – equipment $26,600, notes payable – $54,470, accounts payable – $51,970, common stock – $93,470, retained earnings – $11,470, sales revenue – $765,440. Total of credits: $1,003,420
