9 Problem 5-3A Computing merchandising amounts and formatting income statements LO C2, P4 Valley Company's adjusted trial balance on August 31, 2017, its fiscal year-end, follows 3 33, 500 134.000 Merchandise inventory Other (noninventory) assets Total liabilities K. Valley, Capital K. Valley, Vithdravals Sales Sales discounts Sales returns and allovances Cost of coods sold Sales salaries expense Rent expense- Selling space Store supplies expense Advertising expense Office salaries expense Rent expense-Office space Office supplies expense Totals eBook 112, 124 8, 000 229,140 3.506 15. 123ass Ask 89, 129 31,392 10. 770 2,750 19, 477 28,643 2. 750 917 $379, 957 Print References $379. 957 On August 31, 2016, merchandise inventory was $27035. Supplementary records of merchandising activities for the year ended August 31, 2017, reveal the following itemized costs Invoice cost of nerchandise purchases Purchases disconts received Purchazes returns and allovances Costs of transportation-in $98. 490 2,068 4. 728 3, 900 Required: 2. Compute the company's total cost of merchandise purchased for the year 3Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses and general and administrative expenses 4. Prepare a single-step income statement that includes these expense categories cost of goods sold, selling expenses, and general and administrative expenses