Big Billy Corporation is a local grocery store organized seven years ago as a corporation. The store is in an excellent location, and sales have increased each year. The bookkeeper prepared the following statement assume that all amounts are correct, but note the incorrect terminology and format) BIG BILLY CORPORATION Profit and loss December 31 Debit Credit Sales Cost of Goods Sold 5411,000 $274,500 Sales Returns and Allowances 9,100 Sales Discounts 5,100 Selling Expense 56,200 Administrative Expense 15.100 General Expenses Income Tax Expense 14,100 Niet Income 35,900 Totals 3411,000 $411,000 1.00 Required: 1. Prepare a multi-step income statement that would be used for internal reporting purposes. Treat Sales Returns and Allowances as well as Sales Discounts as contra-revenue accounts BIG BILLY CORPORATION Income Statement For the Year Ended December 31 Operating expenses here to search 2. Prepare a multi-step income statement that would be used for external reporting purposes, beginning with the amount for Net Sales BIG BILLY CORPORATION Income Statement For the Year Ended December 31 es 3. Compute the gross profit percentage (Round your answer to 1 decimal place) & Prov 1 of 5 Next > ere to search O i E