Prepare a corrected income statement for Carlsbad Company for the year ended February 28, 20Y9.

The Carlsbad Company income statement for the year ended February 28, 20Y9 contains error CARLSBAD COMPANY Income Statement For the Year Ended February 28, 20Y9 Revenue from sales: Sales $6,600,000 Add: Sales returns and allowances $180,000 Sales discounts 90,000 270,000 Gross sales $6,870,000 3,975,000 $2,895,000 Cost of merchandise sold Income from operations Expenses Selling expenses Administrative expenses Delivery expense $1,200,000 900,000 75,000 2,175,000 $720,000 60,000 $660,000 Total expenses Other expense: Interest revenue Gross profit