\begin{tabular}{|l|l|l|} \hline \multicolumn{2}{|c|}{ VALLEY COMPANY } \\ \hline \multicolumn{2}{|c|}{ Income Statement } \\ \hline \multicolumn{2}{|c|}{ For Year Ended August 31 } \\ \hline Expenses & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline Total expenses & & \\ \hline & & \\ \hline \end{tabular} \begin{tabular}{|c|c|c|} \hline \multicolumn{3}{|c|}{VALLEYCOMPANY} \\ \hline Income State & nent & \\ \hline \multicolumn{3}{|c|}{ For Year Ended August 31} \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \multirow{2}{*}{\multicolumn{3}{|c|}{ Expenses }} \\ \hline Selling expenses & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline & & \\ \hline \multicolumn{3}{|l|}{ Total selling expenses } \\ \hline \multirow{2}{*}{\multicolumn{3}{|c|}{Generalandadministrativeexpenses}} \\ \hline & & \\ \hline \\ \hline & & \\ \hline & & \\ \hline \multicolumn{3}{|l|}{Totalgeneralandadministrativeexpenses} \\ \hline Total expenses & & \\ \hline & & \\ \hline \end{tabular} Compute the company's total cost of merchandise purchased for the year. Valley Company's adjusted account balances from its general ledger on August 31, its fiscal year-end, follows. It categorizes the following accounts as selling expenses: sales salaries expense, rent expenseselling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative. Beginning merchandise inventory was $26,631. Supplementary records of merchandising activities for the year ended August 31 reveal the following itemized costs. Problem 5-3A (Algo) Computing merchandising amounts and formatting income statements LO C1, P4 Required: 1. Compute the company's net sales for the year. 2. Compute the company's total cost of merchandise purchased for the year. 3. Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. 4. Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses. Complete this question by entering your answers in the tabs below. Compute the company's net sales for the year