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May 10, 2020 (BAAC2100/PRINCIPLES OF ACCOUNTING 2] Question No #1 (10 marks) Kroger Corporation is an American retail company founded by Bernard Kroger in 1883. It is the United States largest supermarket by revenue. Kroger is also the fifth-largest retailer in the world. The tagline of the company is "Fresh for Everyone. The Company provided an adjusted Trial Balance as of December 31, 2018 Details Debit Debit OMR OMR Transportation Outwards 2.000 Bank 68.800 Carriage Inwards 10.000 Inventory returns estimated 8.000 Premises 151.800 Accumulated depreciation-Premises 44000 Plant and Machinery 118.000 Accumulated depreciation Plant and Machinery 30.000 Accounts payable 70.000 Sales refund payable 14,000 Bills payable 4.400 Equity Stock 62,000 Retained Earnings 219.400 Dividends 96.000 Revenue 670,000 Sales discounts 16.000 Returns Inwards and allowances 31.000 Advertisement expenses 67,000 Office expenses 39.600 Interest expense 1,600 Merchandise Inventory - Beginning 40.000 Purchases 40.000 Purchase discounts 50,000 Returns Outwards and allowances 30.000 Merchandise inventory 64,000 Total 1.193.800 1.193.800 Closing Merchandising Inventory of the company is OMR 58,000. You are required to prepare the following financial statements from the above information as on 31 December 2018 i) A Statement of Cost of Goods Sold ii) A Multiple-Step Income Statement 1) A Statement of Retained Earnings Page 2 of 6