4 Chapter & Accounting for Merchandising Businesses RG-9A Periodic inventory accounts, multiple-step income statement On December 31, 2019, the balances of the accounts a Company are as follows ppearing in the ledger of Net income $ 13,500 Purchases Returns and Allowances Purchases Discounts Menchandise Inventory 257000Frelight In January 1, 2019 35,000 3,000 4,500 150,000 Sales Salaries Expense Advertising Expense Delivery Expense Depreciation Expense- Estimated Returns Inventory Office Supplies Prepaid Insurance Store Equipment Miscellaneous Selling Expense Office Salaries Expense Rent Expense Insurance Expense Office Supplies Expense Store Equipment 55,900 78,500 Store Equipment Office Equipment Office Equipment Accounts Payable Customer Refunds Payable Salaries Payable Unearned Rent Notes Payable Shirley Wyman, Capital Shirley Wyman, Drawing Sales 16,000 27,800 50,000 3,000 8,300 50,000 515,600 25,000 20% Office Equipment 1500 Administrative Expense Rent Revenue Interest Expense 3500 7000 2000 Instructions 1Does Wyman Company use a periodic or perpetual inventory system2 Explain 2. Prepare a multiple-step income statement for Wyman Company for the year ended December 31, 2019.The merchandise inventory as of December 31, 2019, was $305,000 The adjustment for estimated returns inventory for sales for the year ending December 31, 2019, was $30,000. 3. Prepare the closing entries for Wyman Company as of December 31, 2019. 4 What would the net income have been if the perpetual inventory system had been used? s: Series B PR 6-1B Purchase-related transactions using perpetual inventory system The following selected transactions were completed by Niles Co. during March of the current year: Mar. 1. Purchased merchandise from Haas Co., $43,250, terms FOB shipping point, OBJ. 2 2/10, n/eom. Prepaid freight of $650 was added to the invoice. 5. Purchased merchandise from Whitman Co., $19,475, tsrm n/30