Help! Prepare a multiple-step income statement for the period ended January 31, 2018. (ACME Fireworks)

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Prepare a multiple-step income statement for the period ended January 31, 2018.

4. Prepare a multiple-step income statement for the period ended January 31, 2018 ACME FIREWORKS Income Statement For the year ended January 31, 2018 Total operating expenses 1. Depreciation on the equipment for the month of January is calculated using the straight-line method. At the time the equipment was purchased, the company estimated a residual value of $3,400 and a two-year service life. 2. The company estimates re uncollectible accounts he company determines 200 of accounts receivable on an an, 3 are past due, and 0% of hese accounts are estimate o be uncollectible. The remaining accounts receivable on January 31 are not past due, and 4% of these accounts are estimated to be uncollectible. (Hint: Use the January 31 accounts receivable balance calculated in the general ledger.) 3. Accrued interest expense on notes payable for January 4. Accrued income taxes at the end of January are $13,100 5. By the end of January, $3,100 of the gift cards sold on January 2 have been redeemed 2. Record the adjusting entries on January 31 for the above transactions. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field.) On January 1, 2018, the general ledger of ACME Fireworks includes the following account balances: Debit Credit $25,200 Cash Accounts Receivable Allowance for Uncollectible Accounts 46,400 $ 4,300 20,100 47,000 16,000 Land Equipment Accumulated Depreciation Accounts Payable Notes Payable (6%, due April 1, 2019) Common Stock Retained Earnings 1,600 28,600 51,000 36,000 33,200 Totals $154,700 $154,700 During January 2018, the following transactions occur: January 2. Sold gift cards totaling $8,200. The cards are redeemable for merchandise within one year of the purchase date January 6. Purchase additional inventory on account, $148,000. January 15. Firework sales for the first half of the month total $136,000. All of these sales are on account. The cost of the units sold is $74,300. January 23. Receive $125,500 from customers on accounts receivable January 25. Pay $91,000 to inventory suppliers on accounts payable. January 28. Write off accounts receivable as uncollectible, $4,900 January 30. Firework sales for the second half of the month total $144,000. Sales include $10,000 for cash and $134,000 on account. The cost of the units sold is $80,000 January 31. Pay cash for monthly salaries, $52,100