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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.

Required:

Compute the company's net sales for the year.

Compute the company's total cost of merchandise purchased for the year.

Prepare a multiple$-$step income statement that includes separate categories for net sales, cost of goods sold, selling expenses,

and general and administrative expenses.

Prepare a single$-$step income statement that includes these expense categories: cost of goods sold, selling expenses, and

general and administrative expenses.

Beginning merchandise inventory was $$35,508.$ Supplementary records of merchandising activities for the year ended

August $31$ reveal the following itemized costs.

Required $1$

Compute the company's net sales for the year.

Prepare a single$-$step income statement that includes these expense categories: cost of goods sold, selling expenses, and

general and administrative expenses.