Alvarado Company provides this information for the month ended October 31, 2014: sales on credit $300,000, cash sales $150,000: sales discounts $5,000: and sales returns and allowances $19,000 Prepare the sales section of the income statement based on this information. Prepare a correct multiple-step income statement. An inexperienced accountant prepared this condensed income statement for Sundberg Company, a retail firm that has been in business for a number of years. As an experienced, knowledgeable accountant, you review the statement and determine the following facts. Net sales consist of sales $911,000, less freight-out on merchandise sold $33,000, and sales returns and allowances $28,000. Other revenues consist of sales discounts $18,000 and rent revenue $4,000. Selling expenses consist of salespersons' salaries $80,000: depreciation on equipment $10,000: advertising $13,000: and sales commissions $6,000. The commissions represent commissions paid. At December 31, $3,000 of commissions have been earned by salespersons but have not been paid. All compensation should be recorded as Salaries and Wages Expense. Administrative expenses consist of office salaries $47,000: dividends $18,000: utilities $12,000: interest expense $2,000: and rent expense $24,000, which includes prepayments totaling $6,000 for the first quarter of 2015. Instructions Prepare a correct detailed multiple-step income statement. Assume a 25% tax rate