Question 2

The following is a partial Adjusted Trial Balance for Alpha Company for the month:

Alpha Company

Adjusted Trial Balance (partial)

January 31, 2016

Accounts

Debit

Credit

Inventory

$2,750

Sales

$11,500

Sales Discounts

200

Sales Returns & Allowances

1,200

Purchases

4,000

Purchases Discounts

150

Purchase Returns & Allowances

450

Freight In

50

Advertising Expense

150

Depreciation Expense

130

Freight Out

70

Income Tax Expense

500

Salaries Expense

550

Utilities Expense

100

Additionally, Inventory for December 31, 2015 was $2,600. Prepare multiple-step income statement. Prepare partial multiple-step income statement that includes the Sales, Cost of Goods Sold sections & gross profit.

Question 2 The following is a partial Adjusted Trial Balance for Alpha Company for the month: Alpha Company Adjusted Trial Balance (partial) January 31, 2016 Accounts Inventory Debit Credit $2,750 Sales Sales Discounts $11,500 200 Sales Returns & Allowances 1,200 Purchases 4,000 Purchases Discounts 150 Purchase Returns & Allowances 450 Freight In 50 Advertising Expense 150 Depreciation Expense 130 Freight Out 70 Income Tax Expense 500 Salaries Expense 550 Utilities Expense 100 Additionally, Inventory for December 31, 2015 was $2,600. Prepare a multiple-step income statement. Prepare a partial multiple-step income statement that includes the Sales, Cost of Goods Sold sections & gross profit. Partial Income Statement: Alpha Company Income Statement (partial)