1. Prepare a multiple-step income statement. Total administrative expenses Total operating expenses Income from operations Other expense: Interest expense Net income 2. Prepare a retained earnings statement. Total property, plant and equipment Total assets Liabilities Current liabilities: Accounts payable Salaries payable Total current liabilities Long-term liabilities: Note payable (final payment due 2024) Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity Total property, plant and equipment Total assets Liabilities Current liabilities: Accounts payable Salaries payable Customer refunds payable Note payable (current portion) Total current liabilities Long-term liabilities: Note payable (final payment due 2024) Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity Accounts receivable Inventory Estimated returns inventory Office supplies Prepaid insurance Total current assets Property, plant and equipment: Office equipment Less: Accumulated depreciation Store equipment Less: Accumulated depreciation Total property, plant and equipment Total assets Liabilities Current liabilities: Accounts payable Salaries payable Multiple-Step Income Statement and Report Form of Balance Sheet The following selected accounts and their current balances appear in the ledger of Clairemont Co. for the fiscal year ended May 31, 2018: 3. Prepare a balance sheet, assuming that the current portion of the note payable is $19,375. Total property, plant and equipment Total assets Liabilities Current liabilities: Accounts payable Salaries payable Total current liabilities Long-term liabilities: Note payable (final payment due 2024) Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity Total property, plant and equipment Total assets Liabilities Current liabilities: Accounts payable Salaries payable Customer refunds payable Note payable (current portion) Total current liabilities Long-term liabilities: Note payable (final payment due 2024) Total liabilities Stockholders' equity Common stock Retained earnings Total stockholders' equity