Comprehensive Problem 8 a-b, c1-c3 (Part Level Submission) Blossom Company's balance sheet at December 31, 2019, is presented below. Blossom Company Balance Sheet December 31, 2019 $14,700 Accounts payable Common stock (900) Retained earnings 9,000 $42,600 Cash Accounts receivable Allowance for doubtful accounts Inventory 19,800 $8,900 18,500 15,200 $42,600 During January 2020, the following transactions occurred. Blossom uses the perpetual inventory method. Jan. 1 3 11 15 Blossom accepted a 4-month, 8% note from Merando Company in payment of Merando's $4,200 account. Blossom wrote off as uncollectible the accounts of Inwood Corporation ($500) and Goza Company ($300). Blossom purchased $15,000 of inventory on account. Blossom sold for $27,000 on account inventory that cost $17,300. Blossom sold inventory that cost $800 to Mark Lauber for $1,000. Lauber charged this amount on his Visa First Bank card. The service fee charged Blossom by First Bank is 3%. Blossom collected $22,400 from customers on account. Blossom paid $17,000 on accounts payable. Blossom received payment in full ($300) from Goza Company on the account written off on January 3. Blossom purchased supplies for $1,400 cash. Blossom paid other operating expenses, $3,000. 17 21 24 27 31 Adjustment data: 1. 2. Interest is recorded for the month on the note from January 1. Bad debts are expected to be 6% of the January 31, 2020, accounts receivable. A count of supplies on January 31, 2020, reveals that $600 remains unused. 3. Adjusted Trial Balance January 31, 2020 Debit Credit Cash 16970 $ Notes Receivable 4200 Interest Receivable 28 Accounts Receivable 19400 Allowance for Doubtful Accounts 1164 Inventory 5900 Supplies 600 Accounts Payable 6900 Common Stock 18500 Retained Earnings 15200 Interest Revenue 28 Sales Revenue 28000 Cost of Goods Sold 18100 Service Charge Expense 30 Bad Debt Expense 764 Other Operating Expenses 3000 Supplies Expense 800 Total 69792 69792 Prepare an income statement. (Round answers to 0 decimal places, e.g. 5,275.) Blossom Company Income Statement $ $