Instructions Labels and Amount Descriptions Income Statement Instructions The following selected accounts and their current balances appear in the ledger of Fernandez Co. at the end of its fiscal year. Cash $250,000 Retained Earnings $2,850,000 Accounts Receivable 1,197,000 Dividends 50,000 Inventory 1,790,000 Sales 9,350,000 Estimated Returns Inventory 23,500 Cost of Goods Sold 5,840,000 Office Supplies 14,000 Sales Salaries Expense 820,000 Prepaid Insurance 8,500 Advertising Expense 350,000 Office Equipment 870,000 Depreciation Expense-Store Equipment 120,000 Accumulated Depreciation Office Equipment 580,000 Miscellaneous Selling Expense 58,000 Store Equipment 2,600,000 Office Salaries Expense 550,000 nnnnnn Ann Instructions Accumulated Depreciation-Store Equipment 820,000 Rent Expense 104,000 Accounts Payable 336,000 Depreciation Expense-Office Equipment 60,000 Customer Refunds Payable 39,000 Insurance Expense 50,000 Salaries Payable 43,000 Office Supplies Expense 26,000 Notes Payable (long-term) 200,000 Miscellaneous Administrative Expense 12,000 Common Stock 600,000 Interest Expense 25,000 Required Prepare a multiple-step income statement for Fernandez Co. for the year ended December 31. Be sure to complete the statement heading. Refer to the account names in the instructions and the lists of Labels and Amount Descriptions for the exact wording of text entries. A colon (:) will automatically appear if it is required. For those boxes in which you must enter subtracted or negative numbers use a minus sign. abels and Amount Descriptions Labels Administrative expenses December 31 For the Year Ended December 31 Operating expenses Other revenue and expense Selling expenses Amount Descriptions Gross profit Net income Net loss Operating income Operating loss Total administrative expenses Total operating expenses Total selling expenses