1. Use Excel to prepare a multi-step income statement based on the adjusted trial balance 40 Use formulas to link the balances on the adjusted trial balance to the amounts on the income a. statement. Note that some balances are split between two different areas of the Income Statement. For example, the Rent Expense is divided into two categoriesSd Administrative. b. Use a formula to add and subtract account amounts as indicated c. Indent in the income statement as needed dFormat the numbers in the dollar columns with a comma and no decimal places (e.g. 5,460). Use a dollar sign at the top of each column and at the total (e.g. $26,201). Make sure the decimal places align. e. Double-underline the total f. Check your spelling carefully and do not abbreviate g. Use a minus sign to ene any "Other Expenses" h. Enter all amounts (except for "Other Expenses") as positive values. Do not use a minus sign or parentheses for any values to be subtracted (except for "Other Expenses") 2, Compute the gross profit margin percentage. Format percentages to two decimal places (e.g. 22.74%). COUGAR MOUNTAIN SPORTS Adjusted Trial Balance June 30, 2018 Balance Debit Account Title Cash Accounts Receivable Merchandise Inventory Estimated Returns Inventory Office Supplies Prepaid Rent Building Accumulated Depreciation - Building Equipment Accumulated Depreciation - Equipment Accounts Payable Salaries Pavahle Credit 152,000 11,250 2,876 556 1,160 4,000 45,000 2,800 6,500 2,400 14,250 1 700 Salaries Payable Interest Payable Refunds Payable Notes Payable Mason, Capital Mason, Withdrawals Sales Revenue Sales Discounts Forfeited Cost of Goods Sold Salaries Expense Rent Expense Utilities Expense Depreciation Expense - Building Depreciation Expense - Equipment Advertising Expense Interest Expense Delivery Expense Supplies Expense Income Tax Expense 1,700 2,610 1,300 43,500 142,800 3,200 105,700 400 26,390 14,300 24,000 5,500 1,400 1,200 2,225 2,610 450 940 11,903 *Note 1 *Note 2 *Note 3 *Note 4 *Note 5 *Note 6 Interest Expense Delivery Expense Supplies Expense Income Tax Expense 2,610 450 940 11,903 317,460 *Note 6 317,460 Notes #1-30% of the salaries is for the Administrative Offices. #2-20% of the rent is for the Administrative Offices. #3-40% of the utilities is for the Administrative Offices. #4-The Building houses the Administrative Offices. #5-The Equipment is categorized as selling. #6-50% of the supplies is for the Administrative Offices. COUGAR MOUNTAIN SPORTS Income Statement Year Ended June 30, 2018 Operating Expenses: Selling Expenses: Total Selling Expenses Administrative Expenses: Total Administrative Expense Total Operating Expenses Operating Income Other Income and (Expenses) Total Other Income and (Expenses) Income Before Income Tax Expense GROSS PROFIT MARGIN PERCENTAGE Compute the gross profit margin percentage. Format percentages to two decimal places (e.g. 22.74%). (Always use cell references and formulas where appropriate to receive full credit.) % of Net Sales Revenue Gross Profit Margin Percentage