Cost of Goods Sold and Income Statement Schuch Company presents you with the following account balances taken from its December 31 adjusted trial balance: Inventory, January 1 Selling expenses $50,000 Purchases returns $3,500 35,000 Interest expense 4,000 Purchases Sales General and administrative expenses 120,000 Sales discounts taken 250,000 22,000 Freight-in 2,000 Gain on sale of property (pretax) 7,000 5,000 Additional data: 1. A physical count reveals an ending-inventory of $22,500 on December 31. 2. Twenty-five thousand shares of common stock have been outstanding the entire year. 3. The income tax rate is 30% on all items of income. Required: 1. Prepare a separate schedule for Schuch's cost of goods sold. SCHUCH COMPANY Schedule 1: Cost of Goods Sold For Year Ended December 31, Current Year 2. Prepare a multiple-step income statement. Round earnings per share computations to two decimal places. SCHUCH COMPANY Income Statement (Multi-Step) For Year Ended December 31, Current Year Operating expenses:" Other items: Components of Income 10:0000 00 3. Prepare a single-step income statement. Round earnings per share computations to two decimal places. SCHUCH COMPANY Income Statement (Single-Step) For Year Ended December 31, Current Year Revenues: Expenses: Components of Income 10,00 L3