Prepare an Income Statement based on the following below:

• Sales Returned = 420,048

• Gross Sales = Sales returned + 60% sales returned

• Depreciation = yearly depreciation of Furniture from Balance Sheet

• Sales expenses = 13% of Net Sales

• Depreciation = yearly depreciation of Equipment from Balance Sheet

• Administrative expenses = 35,790

• Interest expense = 6 % of gross sales

• Cost of Goods Sold = 25% of Merchandise Inventory from Balance Sheet

• Taxes = 16.58% of Taxes owed from Balance Sheet

• Discounts on Sales = 19,780

• Income from Other Sources = 577,332