FInd part B. Prepare the journal entry required to establish the valuation account at January 31 and entries to adjust it monthly thereafter. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter 0 for the amounts.

Presented below is information related to Skysong Enterprises. Jan. 31 Feb. 28 Mar. 31 Apr. 30 Inventory at cost $15,900 $16,006 $18.020 $14.840 Inventory at LCNRV 15,370 13,356 16,536 14,098 Purchases for the month 18,020 25.440 28.090 Sales for the month 30,740 37,100 42,400 (a) Your answer is correct. From the information, prepare (as far as the data permit) monthly income statements in columnar form for February, March, and April. The inventory is to be shown in the statement at cost; the gain or loss due to market fluctuations is to be shown separately (using a valuation account). (Enter negative amounts using either a negative sign preceding the number e.g.-45 or parentheses e.g. (45).) February Sales Revenue $ 30740 $ Cost of Goods Sold Inventory, Beginning 15900 i Purchases 18020 i Cost of Goods Available 33920 i Inventory, Ending 16006 i Cost of Goods Sold 17914 i Gross Profit 12826 nhol Gain (loss) due to Market Fluctuations of Inventory -2120 $ 10706 (a) Your answer is correct. From the information, prepare (as far as the data permit) monthly income statements in columnar form for February, March, and April. The inventory is to be shown in the statement at cost; the gain or loss due to market fluctuations is to be shown separately (using a valuation account). (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) February March April $ 30740 $ 37100 42400 15900 16006 18020 i 18020 i 25440 28090 i 33920 41446 46110 i 16006 i 18020 i 14840 i 17914 i 23426 i 31270 i 12826 13674 11130 -2120 1166 742 $ 10706 $ 14840 11872 Prepare the journal entry required to establish the valuation account at January 31 and entries to adjust it monthly thereafter. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit (b) Prepare the journal entry required to establish the valuation account at January 31 and entries to adjust it monthly thereafter. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter o for the amounts.) Date Account Titles and Explanation Debit Jan. 31 Feb. 28 Mar. 31 Apr. 30