Problem 4-3A Computing merchandising amounts and formatting income statements LO C2, P4 [The following information applies to the questions displayed below.] Valley Company's adjusted trial balance on August 31, 2015, its fiscal year-end, follows. Debit $ 42,500 170,000 Credit Merchandise inventory Other (noninventory) assets Total liabilities Common stock Retained earnings $49,088 57,210 81,838 Dividends 8,000 Sales 290,700 4,448 19,186 112,026 39,826 13,663 3,488 24,710 36,338 3,488 1,163 Sales discounts Sales returns and allowances Cost of goods sold Sales salaries expense Rent expense-Selling space Store supplies expense Advertising expense Office salaries expense Rent expense-Office space Office supplies expense $478,836 $478,836 Totals On August 31, 2014, merchandise inventory was $34,298. Supplementary records of merchandising activities for the year ended August 31, 2015, reveal the following itemized costs. $124,950 2,624 5,998 3,900 Invoice cost of merchandise purchases Purchase discounts received Purchase returns and allowances Costs of transportation-in Problem 4-3A Part 1 Required: 1. Compute the company's net sales for the year. Net sales Problem 4-3A Part 2 2. Compute the company's total cost of merchandise purchased for the year. Total cost of merchandise purchased Problem 4-3A Part 3 3. Prepare a multiple-step income statement that includes separate categories for selling expenses and for general and administrative expenses VALLEY COMPANY Income Statement For Year Ended August 31, 2015 0 0 0 Expense Selling expenses Total selling expenses 0 General and administrative expenses Total general and administrative expenses Total expenses 0 Problem 4-3A Part 4 4. Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses VALLEY COMPANY Income Statement For Year Ended August 31, 2015 Expenses Total expenses 0