Multiple-step income statement and balance sheet The following selected accounts and their current balances appear in the ledger of Kanpur Co. for the fiscal year ended June 30, 20Y7: Account Amount Cash $115,900 Accounts Receivable 309,100 Inventory 352,400 Estimated Returns Inventory 5,000 Office Supplies 10,900 Prepaid Insurance 8,500 Office Equipment 255,100 Accumulated DepreciationOffice Equipment 173,400 Store Equipment 796,400 Accumulated DepreciationStore Equipment 255,100 Accounts Payable 173,600 Salaries Payable 11,300 Customer Refunds Payable 10,000 Estimated Coupons Payable 3,000 Note Payable (final payment due in 20 years) 370,000 Common Stock 65,700 Retained Earnings 511,000 Dividends 69,400 Sales 4,246,400 Cost of Goods Sold 2,456,200 Sales Salaries Expense 690,700 Advertising Expense 189,900 Depreciation ExpenseStore Equipment 37,000 Miscellaneous Selling Expense 16,200 Office Salaries Expense 377,100 Rent Expense 55,700 Insurance Expense 17,300 Depreciation ExpenseOffice Equipment 27,800 Office Supplies Expense 10,200 Miscellaneous Administrative Expense 7,400 Interest Expense 11,300 Required: 1. Prepare a multiple-step income statement.

Kanpur Co. Income Statement For the Year Ended June 30, 20Y7 Line Item Description Amount Amount Amount CashInventoryPrepaid insuranceSales discountsSales $ fill in the blank 2 Accounts payableCost of goods soldInsurance expenseInventoryStore Equipment fill in the blank 4 Accounts payableGross profitOperating incomeNet incomeNet sales $ fill in the blank 6 Expenses: Selling expenses: Cost of goods soldNet salesOffice suppliesSales discountsSales salaries expense $ fill in the blank 8 Accounts payableAdvertising expenseCashDepreciation expense-office equipmentSales returns and allowances fill in the blank 10 Accounts receivableAccumulated depreciation-store equipmentCommon stockDepreciation expense-store equipmentStore equipment fill in the blank 12 Cost of goods soldMiscellaneous selling expenseOffice equipmentOffice salaries expenseSales fill in the blank 14 Total selling expenses $ fill in the blank 15 Administrative expenses: Common stockInventoryOffice salaries expenseOffice suppliesSales $ fill in the blank 17 Accounts payableAccounts receivableNotes payableRent expenseSales returns and allowances fill in the blank 19 Accounts payableCashInsurance expensePrepaid insuranceSales discounts fill in the blank 21 Accumulated depreciation-office equipmentCashDepreciation expense-office equipmentOffice equipmentOffice supplies fill in the blank 23 Accounts payableOffice equipmentOffice supplies expenseOffice suppliesSales returns and allowances fill in the blank 25 Accounts receivableInterest expenseMiscellaneous administrative expenseNotes payableSales fill in the blank 27 Total administrative expenses fill in the blank 28 Total operating expenses fill in the blank 29 Gross profitOperating incomeLoss from operationsNet incomeNet loss $ fill in the blank 31 Cost of goods soldGross profit:Net sales:Other revenue and expense:Other income: Advertising expenseInterest expenseMiscellaneous selling expenseOffice supplies expenseSales discounts fill in the blank 34 Gross profitOperating incomeLoss from operationsNet incomeNet loss $ fill in the blank 36 2. Prepare a statement of stockholders equity. Additional common stock of $7,500 was issued during the year ended June 30, 20Y7.

Kanpur Co. Statement of Stockholders Equity For the Year Ended June 30, 20Y7 Line Item Description Common Stock Retained Earnings Total Balances, July 1, 20Y6Balances, June 30, 20Y7DividendsIssued common stockNet income $ fill in the blank 38 $ fill in the blank 39 $ fill in the blank 40 Balances, July 1, 20Y6Balances, June 30, 20Y7DividendsIssued common stockNet loss fill in the blank 42

fill in the blank 43 Balances, July 1, 20Y6Balances, June 30, 20Y7DividendsNet incomeNet loss

fill in the blank 45 fill in the blank 46 Balances, July 1, 20Y6Balances, June 30, 20Y7DividendsIssued common stockNet income fill in the blank 48 fill in the blank 49 Balances, July 1, 20Y6Balances, June 30, 20Y7DividendsIssued common stockNet income $ fill in the blank 51 $ fill in the blank 52 $ fill in the blank 53 3. Prepare a balance sheet, assuming that the current portion of the note payable is $18,500.

KANPUR CO. Balance Sheet June 30, 20Y7 Assets Current assets: Accounts payableCashOffice equipmentRent expenseSales $ fill in the blank 55 Accounts payableAccounts receivableCommon stockInterest expenseStore equipment fill in the blank 57 Accumulated depreciationInterest expenseInventoryNote payableSales returns and allowances fill in the blank 59 Estimated returns inventoryOffice equipmentOffice supplies expenseOffice suppliesSales discounts fill in the blank 61 Common stockOffice equipmentOffice supplies expenseOffice suppliesSales discounts fill in the blank 63 Accounts payableCost of goods soldInsurance expenseNote payablePrepaid insurance fill in the blank 65 Total current assets $ fill in the blank 66 Property, plant, and equipment: Accounts receivableCashOffice equipmentOffice supplies expenseOffice supplies $ fill in the blank 68 Accounts payableAccumulated depreciation-office equipmentCashDepreciation expenseRent expense fill in the blank 70

Accounts payableBook value-office equipmentCashDepreciation expenseRent expense

$ fill in the blank 72 CashCost of goods soldPrepaid insuranceSalaries payableStore equipment $ fill in the blank 74 Accumulated depreciation-store equipmentDepreciation expenseInventorySales discountsStore equipment fill in the blank 76

Book value-store equipmentDepreciation expenseInventorySales discountsStore equipment

fill in the blank 78 Total property, plant, and equipment fill in the blank 79 Total assets $ fill in the blank 80 Liabilities Current liabilities: Accounts payableAccounts receivableCashPrepaid insuranceSales returns and allowances $ fill in the blank 82 Accumulated depreciationOffice salaries expenseOffice suppliesSalaries payableSales salaries expense fill in the blank 84 Customer refunds payableInventoryNote payable (current portion)Office equipmentSales fill in the blank 86 Estimated coupons payableInventoryNote payable (current portion)Office equipmentSales fill in the blank 88 Cost of goods soldInventoryNote payable (current portion)Office equipmentSales fill in the blank 90 Total current liabilities $ fill in the blank 91 Long-term liabilities: CashNote payable (long-term portion)Office equipmentPrepaid insuranceSales fill in the blank 93 Total liabilities $ fill in the blank 94 Stockholders' equity Accounts receivableCommon stockCashPrepaid insuranceSales $ fill in the blank 96 Accounts receivableCashRetained earningsSalaries payableSales fill in the blank 98 Total stockholders' equity fill in the blank 99 Total liabilities and stockholders' equity $ fill in the blank 100 4. Which type of income statement shows intermediate balances? Multiple-stepSingle-step