An inexperienced accountant prepared this condensed income statement for Pina Colada Corp., a retail firm that has been in business for a number of years. Pina Colada Corp. Income Statement For the Year Ended December 31, 2022 Revenues Net sales $1,088,000 Other revenues 28,160 1,116,160 Cost of goods sold 710,400 Gross profit 405,760 Operating expenses Selling expenses 139,520 Administrative expenses 131,840 271,360 Net earnings $134,400 As an experienced, knowledgeable accountant, you review the statement and determine that the following steps were taken by the accountant to compute the amounts presented in the income statement. 1. 2. 3. Net sales, as presented, consist of sales $1,166,080, less freight-out on merchandise sold $42,240, and sales returns and allowances $35,840. Other revenues, as presented, consist of sales discounts $23,040 and rent revenue $5,120. Selling expenses, as presented, consist of salespersons' salaries $102,400; depreciation on equipment $12,800; advertising $16,640; and sales commissions $7,680. The commissions represent commissions paid. At December 31, $3,840 of commissions have been earned by salespersons but have not been paid. All compensation should be recorded as Salaries and Wages Expense. Administrative expenses, as presented, consist of office salaries $60,160; dividends $23,040; utilities $15,360; interest expense $2,560; and rent expense $30,720, which includes prepayments totaling $7,680 for the first quarter of 2018. 4. Prepare a correct detailed multiple-step income statement. Assume a 25% tax rate. (List other revenues before other expenses. Round answers to 0 decimal places, e.g. 5,125.) Pina Colada Corp. Income Statement