Prepare a multi-step income statement and statement of retained earnings for the year ended December 31, 2018. Prepare a classified balance sheet as of December 31, 2018. Assume Interest Receivable is a current asset and Interest Payable is a current liability.

Begin by preparing a multi-step income statement for the year ended December 31, 2018. (Use a minus sign or parentheses to show any "Other Expenses". Assume that Bank Expense and Credit Card Expense are considered to be operating expenses.)

Colin Cameron Appliance-Cape May Adjusted Trial Balance December 31, 2018 Balance Account Title Debit Credit Cash $ 480,843 Petty Cash 200 Accounts Receivable 310,000 Allowance for Bad Debts 21,700 Merchandise Inventory 401,000 Office Supplies 220 Prepaid Insurance 1,100 Interest Receivable 7,000 Notes Receivable 280,000 Land 140,000 Building 380,000 Accumulated DepreciationBuilding 12,000 Store Fixtures 97,500 Accumulated DepreciationStore Fixtures 6,500 50,000 20,000 45,900 325,000 25,000 250,000 590,000 22,000 Office Equipment Accumulated DepreciationOffice Equipment Franchise Accounts Payable Interest Payable Notes Payable Baen, Capital Baen, Withdrawals Sales Revenue Interest Revenue Cost of Goods Sold Franchise Fee Expense Salaries Expense Utilities Expense Insurance Expense Supplies Expense Bad Debt Expense Bank Expense Credit Card Expense 2,090,000 21,800 694,000 146,300 200,000 11,000 1,100 403 21,700 2,480 650 Depreciation ExpenseBuilding Depreciation Expense-Store Fixtures Depreciation Expense-Office Equipment Amortization Expense-Franchise Interest Expense Cash Short and Over 12,000 6,500 20,000 5,100 25,000 $ 3,362,000 $ 3,362,000 Total Colin Cameron Appliance-Cape May Income Statement Year Ended December 31, 2018 Net Income (Loss)