1. From the adjusted trial balance given below, prepare the multi-step income statement:

Company A Adjusted Trial Balance December 31
	Debit	Credit
Cash	$109,400
Accounts receivable	275,000
Merchandise inventory	360,000
Office supplies	800
Store equipment	85,000
Accumulated depreciationstore equipment		$33,500
Office equipment	50,000
Accumulated depreciationoffice equipment		20,000
Accounts payable		420,000
Notes payable		10,000
A. Brookstone, Capital		144,350
A. Brookstone, Withdrawals	35,000
Sales		3,025,000
Sales discounts	60,000
Sales returns and allowances	86,500
Cost of goods sold	1,966,250
Sales Salaries Expense	320,500
Advertising Expense	19,800
Depreciation Expense store equipment	8,500
Office Salaries Expense	210,100
Rent Expense	55,000
Depreciation Expense office equipment	5,000
Interest expense	6,000
Totals	$3,352,850	$3,652,850