Required information CP6-5 Preparing a Multistep Income Statement and Computing the Gross Profit Percentage [LO 6-6] [The following information applies to the questions displayed below) Psymon Company, Inc., sells construction equipment. The annual fiscal period ends on December 31. The following adjusted trial balance was created from the general ledger accounts on December 31: Credits Debits $ 45,190 19,200 69,500 53,000 Account Titles Cash Accounts Receivable Inventory Property and Equipment Accumulated Depreciation Accounts Payable Common Stock Retained Earnings, January 1 Sales Revenue Cost of Goods Sold Salaries and Wages Expense Office Expenses Interest Expense Income Tax Expense Totals $ 22,300 32,100 96,000 12,200 179,600 105,200 18,200 19,200 2,300 10.410 $342,200 $342,200 CP6-5 Part 1 Required: 1. Prepare a multistep income statement that would be used for external reporting purposes. TIP: Some of the accounts listed will appear on the balance sheet rather than the income statement PSYMON COMPANY, INC. Income Statement For the Year Ended December 31 Sales Revenue Cost of Goods Sold 'Gross Profit Inventory Office Expenses Other Operating Expenses Income before Income Tax Expense Income Tax Expense income before Income Tax Expense 179,600 105,200 74,400 18,200 19,200 37,000 2,300 10,410 34,700 Net Income $ 24,290