NELSON COMPANY Unadjusted Trial Balance January 31 Credit Debit $ 31,450 13,500 5,800 2,400 42,700 $ 19,150 17,000 5,000 32,000 2,000 115,800 Cash Merchandise inventory Store supplies Prepaid insurance Store equipment Accumulated depreciation-Store equipment Accounts payable Common stock Retained earnings Dividends Sales Sales discounts Sales returns and allowances Cost of goods sold Depreciation expense-Store equipment Sales salaries expense Office salaries expense Insurance expense Rent expense-Selling space Rent expense-office space Store supplies expense Advertising expense Totals 1,800 2,200 38,000 0 13,750 13,750 0 6,000 6,000 9,600 $ 188,950 $188,950 Additional Information: a. Store supplies still available at fiscal year-end amount to $1,900. b. Expired insurance, an administrative expense, is $1,700 for the fiscal year. c. Depreciation expense on store equipment, a selling expense, is $1,600 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,100 of inventory is still available at fiscal year-end. Journal entry worksheet Store supplies still available at fiscal year-end amount to $1,900. Note: Enter debits before credits. Transaction General Journal Debit Credit a. Record entry Clear entry View general journal Journal entry worksheet 1 2 2 3 Expired insurance, an administrative expense, is $1,700 for the fiscal year. Note: Enter debits before credits. General Journal Debit Credit Transaction b. Record entry Clear entry View general journal View transaction list Journal entry worksheet 1 23 > Depreciation expense on store equipment, a selling expense, is $1,600 for the fiscal year. Note: Enter debits before credits. Transaction General Journal Debit Credit C. Record entry Clear entry View general journal Required 1 Required 2 Required 3 Using the above information, prepare adjusting journal entries. View transaction list Journal entry worksheet 1 2 3 4 To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,100 of inventory is still available at fiscal year-end. Note: Enter debits before credits. Transaction General Journal Debit Credit d. Cost of goods sold Merchandise inventory Record entry Clear entry View general Journal S Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. NELSON COMPANY Income Statement For Year Ended January 31 0 0 0 Expenses Selling expenses 0 Total selling expenses General and administrative expenses 0 Total general and administrative expenses Total expenses 0 Required: 1. Using the above information, prepare adjusting journal entries. 2. Prepare a multiple-step income statement that includes separate categories for net sales, cost of go general and administrative expenses. 3. Prepare a single-step income statement for the year ended January 31. Complete this question by entering your answers in the tabs below. Book Required 1 Required 2 Required 3 erences Prepare a single-step income statement for the year ended January 31. NELSON COMPANY Income Statement For Year Ended January 31 Expenses Total expenses 0