I Only need help with number 1. out of the 4 deliverables
1. Create multi-step Income Statement using the July 31, 2020 adjusted balances AND formatting information from IS tab. 2. Create statement of retained earnings using July 31, 2020 adjusted balances AND formatting information from stmnt of RE tab. 3. Create classified balance sheet using July 31, 2020 adjusted balances AND formatting information from BS tab. 4. Create statement of cash flows using the income statement, the "changes" columns from below, and the additional notes to the right of July 31, 2020 adjusted trial balance columns. To complete the changes" columns and the statement of cash flows: a. Input a formula in either the debit column OR the credit column to find the change in account balance from July 2019 to July 2020. b. Only complete the "changes" cells that are outlined and have 2019 beginning balances and 2020 ending balances. Do not find changes in cells that are grayed out. c. Use the "changes" amounts to create the statement of cash flows. Amounts from the income statement will also be needed. d. Pay attention to statement of cash flows additional information columns below. These give hints. July 31, 2019 Adjusted CHANGES COLUMNS Used ONLY for Statement of cash flows July 31, 2020 Adjusted Trial Balance Trial Balance Acct. No. Account Title Dr. Cr. Debit Credit Dr. Cr 100 Cash 583,730.00 21,470.00 605,200.00 102 Accounts Receivable, net 445,000.00 425,500.00 104 Merchandise Inventory, net 497,430.00 597,600.00 106 Office Supplies 1,250.00 6,500.00 107 Prepaid Expenses 12,500.00 10,500.00 120 Equity Investments - Trading 59,650.00 86,450.00 122 Investments - Held to Maturity 23,850.00 55,950.00 1,000,000.0 140 Land 1,500,000.0 0 2,500,000.0 3,500,000.0 0 145 Building 146 Accumulated Depreciation - Building 312,500.00 400,000.00 151 Equipment 170,000.00 205,000.00 152 Accumulated Depreciation - Equipment 85,000.00 96,000.00 153 32,500.00 42,500.00 Office Furniture Accumulated Depreciation - Office Furniture 154 16,250.00 18,250.00 201 356,000.00 393,420.00 202 Accounts Payable Wages Payable Interest Payable 203 204 Dividends Payable 205 Unearned Rent 6,000.00 4,000.00 206 Customer Refunds Payable 35,600.00 29,000.00 250 Notes Payable - Long Term 12,000.00 212,000.00 251 Bonds Payable - Long Term 200,000.00 400,000.00 252 Premium on Bonds Payable 253 Discount on Bonds Payable 252 248,000.00 798,000.00 Mortgage (Warehouse) Payable Common Stock, $1 Par, 100,000 Authorized: 81,000 shares Issued/Outstanding 300 65,500.00 81,000.00 Paid In Capital - Excess of Par Common Stock 1,177,250. 00 1,177,250. 00 301 2,351,400. 00 Retained Earnings 2,849,810 00 330 331 Cash Dividends 200,000.00 340 Treasury Stock 38,000.00 88,000.00 500 Sales 3,457,984. 00 3,975,725. 00 1,750,199.0 0 1,509,195.0 600 Cost of Goods Sold 0 700 794,515.00 799,500.00 701 Wage Expense (hourly workers) Salaries Expense (Exempt Staff) Marketing Expense 89,000.00 229,000.00 702 65,000.00 75,000.00 703 525.00 85,600.00 Travel and Entertainment Expense Bad Debt Expense 704 6,500.00 9,900.00 705 Property Tax Expense 111,200.00 150,000.00 706 Office Maintenance & Repair Expense 30,000.00 707 Legal Expenses 5,400.00 708 Insurance Expense 1,500.00 3,500.00 709 Miscellaneous Expense 48,985.00 53,925.00 710 Office Supplies Expense 400.00 735.00 711 Telecommunications Expense 10,000.00 712 Depreciation Expense - Building 62,500.00 87,500.00 713 17,000.00 6,000.00 714 3,250.00 11,750.00 800 12,000.00 Depreciation Expense - Equipment Depreciation Expense - Office Furniture Rent Income Gain on Sale of Equity Investment Securities - Trading Interest Expense Loss on sale of Held to Maturity Investments 802 35,000.00 900 5,000.00 61,000.00 902 4,000.00 30,250.00 Total 8,323,484.08,323,484. 00 000 10,481,455. 10,481,455 000 .000 2,959,574.0 3,457,984. 0 00 Net Income (Loss) 498,410.00 Instructions: Using the July 31, 2020 adjusted trial balance information complete a multi-step income statement. Round all amounts to the nearest cent. Follow the below format notes, the rest is up to the student. Note that grades are also based on organization, formula use, and clarity of financial statement. Other requirements are: a. ONLY use accounts that have adjusted balances for July 31, 2020 b. Include proper report title c. Not all rows or columns need to be used. Formulas MUST be used when necessary. Use the following format (in order): 1. Input and list sales revenue, COGS, and calculate Gross Proft, 2. Input and list operating expenses - these are normal expenses incurred while selling marine parts. Subtotal these amounts. Operating expenses do NOT have to be separated into selling or general and administrative expense categories. 3. Calculate income from operations. 4. Input and list other revenues and gains amounts - revenue earned, but NOT part of normal operations and subtotal these amounts. 5. Input and list other expenses and losses amounts - expenses incurred, but NOT part of normal operations. Interest expense is always included in this category. Subtotal these amounts. 6. Calculate Net Income (Loss)
