The accountant for Smart Products, Inc. has compiled the following information from the

company's records as a basis for an income statement for the year ended December 31, 2020.

$

Net sales 485,000

Depreciation on plant assets Expense 35,000

Dividends declared 7,200

Rent revenue 15,000

Interest on notes payable 8,500

Market appreciation on land held as an investment 22,000

purchases Merchandise 210,500

Merchandise inventory, January 1, 2020 (Beginning) 41,000

Merchandise inventory, December 31, 2020 (Ending) 40,500

Wages and salariessales Expense 47,500

Materials and suppliessales Expense 5,700

Income taxes 22,500

Wages and salariesadministrative Expense 67,950

Other administrative expenses 23,350

Advertising expense 10,000

Express mail Expense 3,000

Instructions

Prepare a multiple-step OR single-step income statement.