Credit Practice Problem #1 B Company provided an adjusted trial balance as of December 31. Debit Cash $34,400 Merchandise inventory 32,000 Inventory returns estimated 4,000 Store equipment 75,900 Accumulated depreciation-store equipment 60,000 Accumulated depreciation office equipment Accounts payable Sales refund payable Notes payable Common stock Retained earnings Dividends 48,000 Sales Sales discounts 6,000 Sales returns and allowances 16,500 Cost of goods sold 195,000 Selling expenses 32.500 General and administrative expenses 19,800 Interest expense 600 Total $524,700 $22,000 15,000 35,000 7,000 10,000 1,000 109,700 325,000 $524,700 Required: a) Prepare a single-step income statement b) Prepare a multiple-step income statement