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? ! Required information [ The following information applies to the questions displayed below. ] Valley Company's adjusted account balances from its general ledger on

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Valley Company's adjusted account balances from its general ledger on August 31, ?its fiscal year-end, follows. It categorizes the following accounts as selling expenses: sales salaries expense, rent expense-selling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative.
\table[[Adjusted Account Balances,Debit,Credit],[Merchandise inventory (ending),$37,500,],[other (non-inventory) ?assets,150,000,],[Total liabilities,,$43,313],[Common stock,,73,612],[Retained earnings,,50,479],[Dividends,8,000,],[Sales,,256,500],[Sales discounts,3,924,],[Sales returns and allowances,16,929,],[Cost of goods sold,99,306,],[Sales salaries expense,35,141,],[Rent expense-Selling space,12,056,],[Store supplies expense,3,078,],[Advertising expense,21,803,],[Office salaries expense,32,063,],[Rent expense-office space,3,078,],[office supplies expense,1,026,],[Totals,$423,904,$423,904]]
Beginning merchandise inventory was $30,263. ?Supplementary records of merchandising activities for the year ended August 31 ?reveal the following itemized costs.
\table[[Invoice cost of merchandise purchases,$110,250],[Purchases discounts received,2,315],[Purchases returns and allowances,5,292],[Costs of transportation-in,3,900]]
Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses.
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