Question Three Answer the following questions A- XYZ Company recorded the following accounts for the year ended December 31-2017 Office supplies expenses $ 13,600 Sales Salaries expenses $6,400 Ending merchandise inventory $10,000 Sales discounts $8,000 Advertising expenses $14,000 Interest Revenues $12,000 Sales returns and allowances $12,000 Rent expenses- office space $18,000 Net cost of purchases $68,000 Interest Expenses $16,000 Sales Revenue $ 200,000 Beginning merchandise inventory $22.000 Required: Prepare a multiple-step income statement B- The following accounts are for Swift Co. at December 31, 2018. Prepaid rent 9,000 Loans Accumulated depreciation-Building 15,000 Investments in stocks and bonds Good will 37,500 land Mortgages payable 112,500 Unearned revenue Cash 22,500 Accounts receivable O. Adam, Capital 217,500 Accounts payable Merchandise inventory 30,000 Short term notes receivables Land held for future expansion 24.000 Building Tax payable 25,500 Trademarks 37,500 33,750 187.500 56,250 15,000 60,000 7,500 90,000 67,500 Required: Prepare classified balance sheet