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Please help me with the following accounting question, both a & b! will give good rating, thanks in advance Question 2: Macaroon Corporation's capital structure

image text in transcribed Please help me with the following accounting question, both a & b! will give good rating, thanks in advance
Question 2: Macaroon Corporation's capital structure consists of 20,000 common shares. At December 31, 2017 an analysis of the accounts and discussions with company officials revealed the following information: Sales $1,200,000 Sales discounts 18,000 Cost of sales 747,000 Selling expenses 128,000 Cash 60,000 Accounts receivable 90,000 Common shares 200,000 Accumulated depreciation 180,000 Dividend revenue 18,000 Inventory, December 31, 2017 125,000 Unearned service revenue 4,400 Accrued interest payable 1,000 Land 370,000 Patents 100,000 Retained earnings, January 1, 2017 270,000 Interest expense 17,000 General and administrative expenses 160,000 Dividends declared 29,000 Notes payable (maturity July 1, 2020) 200,000 Machinery and equipment 450,000 Materials and supplies 40,000 Accounts payable 60,000 Assume all adjusting entries have been made. The company is subject to a 30% income tax rate. Instructions a) Prepare, in good form, a multiple-step income statement. b) Prepare, in good form, a retained earnings statement

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