SIMGNGLE STEP INCOME STATEMENT The following selected accounts and their current balances appear in the ledger of Druid Hills Co$.$ for the fiscal year ended May $31,20$Y$8$:

Cash $$290,800$

Accounts Receivable $1,170,600$

Merchandise Inventory $2,075,300$

Office Supplies $16,400$

Prepaid Insurance $9,700$

Office Equipment $1,005,800$

Accumulated Depreciation$-$Office Equipment $666,500$

Store Equipment $4,362,700$

Accumulated Depreciation$-$Store Equipment $2,205,600$

Accounts Payable $395,100$

Customer Refunds Payable $48,500$

Salaries Payable $50,300$

Note Payable$*363,600$

Kristina Marble, Capital $4,179,800$

Kristina Marble, Drawing $121,200$

Sales $13,746,000$

Cost of Merchandise Sold $9,513,000$

Sales Salaries Expense $1,110,100$

Advertising Expense $666,500$

Depreciation Expense$-$Store Equipment $169,700$

Miscellaneous Selling Expense $46,100$

Office Salaries Expense $787,700$

Rent Expense $113,900$

Depreciation Expense$-$Office Equipment $60,600$

Insurance Expense $58,200$

Office Supplies Expense $34,100$

Miscellaneous Administrative Expense $17,600$

Interest Expense $25,400$

$*$final payment due in $10$ years

Required:

Prepare a single$-$step income statement Combine selling expenses together in a single entry and combine administrative expenses together in a single entry. Be sure to complete the statement heading. Refer to the account names in the instructions and the lists of Labels and Amount Descriptions for the exact wording of text entries. Enter amounts as positive numbers unless the amount is a calculation that results in a negative amount For example: Net loss should be negative. Expenses should be positive. A colon $())$ will automatically appear if it is required.

Prepare closing entries as of May $31,20$ Refer to the chart of accounts for the exact wording of the account titles. CNOWjournals do not use lines for journal explanations. Every line on a journal page is used for debit or credit entries. CNOW journals will automatically indent a credit entry when a credit amount is entered.