Multi-step Income Statement and Adjusting Entries Washington Distributors, whose accounting year ends on December 31, had the following normal balances in its ledger accounts at December 31. Cash Accounts Receivable Inventory $45,750 92,000 84,400 Prepaid Insurance 7,200 Office Supplies 4,800 Furniture & Fixtures 28,000 Accumulated Depreciation - Furn. & Fixtures 10,800 Delivery Equipment 70,000 Accumulated Depreciation - Delivery Equipment 24,400 Accounts Payable 69,400 Long-term Notes Payable 30,000 Income tax expense 11,000 Common Stock $125,000 Retained Earnings ? Sales Revenue 1,170,000 Cost of Goods Sold 822,200 Utilities Expense 5,600 Sales Salaries Expense 108,000 Delivery Expense 37,000 Advertising Expense 28,200 Rent Expense 30,000 Office salaries expense 72,000 During the year the accounting department prepared monthly statements but no adjustinge