Required information [The following information applies to the questions displayed below.] 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. Adjusted Account Balances Merchandise inventory (ending) Other (non-inventory) assets Total liabilities Debit $ 31,000 124,000 Credit $ 35,805 K. Valley, Capital 104,641 K. Valley, Withdrawals 8,000 Sales 212,040 Sales discounts 3,244 Sales returns and allowances 13,995 Cost of goods sold 82,768 Sales salaries expense 29,049 Rent expense-Selling space 9,966 Store supplies expense 2,544 Advertising expense 18,023 Office salaries expense 26,505 2,544 848 Rent expense-Office space Office supplies expense Totals $ 352,486 $ 352,486 Beginning merchandise inventory was $25,017. Supplementary records of merchandising activities for the year ended August 31 reveal the following itemized costs. Invoice cost of merchandise purchases Purchases discounts received $ 91,140 1,914 Purchases returns and allowances Costs of transportation-in 4,375 3,900 Required: 1. Compute the company's net sales for the year. 2. Compute the company's total cost of merchandise purchased for the year. 3. Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. 4. Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses.