The unadjusted trial balance of Global Enterprises for the year ended December 31, 2017, follows:

Additional information:
1. There was $700 of supplies on hand on December 31,2017
2. Depreciation expense for the year is $5,360 on the furniture, and $4,200 on the equipment.
3. Accrued interest expense at December 31, 2017, is $1,750.
4. Accrued interest revenue at December 31, 2017, is $720.
5. Of the unearned revenue, $1,600 is still unearned at December 31, 2017. On the sales that were earned, the cost of goods sold was $755.
6. A physical count of merchandise inventory indicates $35,275 on hand on December 31, 2017.
Instructions
(a) Prepare the adjusting journal entries assuming they are prepared annually and update account balances.
(b) Prepare a multiple-step income statement.
(c) Prepare a single-step income statement.
(d) Prepare the closing entries.
Taking It Further
Compare the single-step and multiple-step income statements and comment on the usefulness of each. In your comments, refer to specific details provided on Global Enterprises' income statements.

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GLOBAL ENTERPRISES Trial Balance December 31, 2017 Debit Credit Cash Short-term investments Accounts receivable Merchandise inventory Supplies Furniture Accumulated depreciation-furniture Equipment Accumulated depreciation-equipment Accounts payable Unearned revenue Notes payable I. Rochefort, capital L. Rochefort, drawings S 16,400 18,000 15,700 37,500 1,650 26,800 S 10,720 42,000 8,400 26,850 3,000 35,000 45,500 35,500 Sales Sales returns and allowances Sales discounts Cost of goods sold Insurance expense Rent expense Salaries expense 245,000 6,670 2,450 132,300 1,800 9,300 28,400 374,470 $374,470