Prepare an income statement.

Comprehensive Problem 5 (Part Level Submission) On December 1, 2017, Prosen Distributing Company had the following account balances. Debit Credit Accumulated Cash $7,500 Depreciation $2,640 -Equipment Accounts Accounts 4,600 4,900 Receivable Payable Salaries and Inventory 12,400 Wages 1,000 Payable Common Supplies 1,400 30,000 Stock Retained Equipment 26,400 13,760 Earnings $52,300 $52,300 During December, the company completed the following summary transactions. Dec. Paid $1,800 for salaries and wages due employees, of which $800 is for December and $1,000 is for November 6 salaries and wages payable. 8 Received $1,900 cash from customers in payment of account (no discount allowed). 10 Sold merchandise for cash $6,800. The cost of the merchandise sold was $4,200. 13 Purchased merchandise on account from Maglio Co. $8,900, terms 2/10, n/30. 15 Purchased supplies for cash $1,800. 18 Sold merchandise on account $12,600, terms 3/10, n/30. The cost of the merchandise sold was $8,200. 20 Paid salaries and wages $1,500. 23 Paid Maglio Co. in full, less discount. 27 Received collections in full, less discounts, from customers billed on December 18. (d) Your answer is correct. Prepare an adjusted trial balance. PROSEN DISTRIBUTING COMPANY Adjusted Trial Balance December 31, 2017 Debit Credit Cash 14600 Inventory 8722 Accounts Re 2700 Equipment 26400 Cost of Goo 12400 jes Expense 3000 Salaries and 700 Depreciation 240 Accumulate 2880 Supplies 1700 Supplies Ex 1500 Sales Disco 378 Sales Rever 194001 Accounts Pa 4900 Common St 30000 Retained Ea 13760 Totals 71640 71640 Prepare an income statement. PROSEN DISTRIBUTING COMPANY Income Statement December 31, 2017 Sales Revenues 19400 Less Sales Disco 378 Net Sales 19022 Cost of Goo 12400 Gross Profit LLLLL 6622 Operating Expenses Salaries ar 2300 Sales Reve 4322 Net Income / (Loss) 4500