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Big Tommy Corporation is a local grocery store organized seven years ago as a corporation. The bookkeeper prepared the following statement at year-end (assume that all amounts are correct, but note the incorrect format):

BIG TOMMY CORPORATION
Profit and Loss
December 31
	Debit				Credit
Net Sales					$	497,500
Cost of Goods Sold	$	319,000
Salaries and Wages Expense		68,000
Office Expenses		23,500
Travel Expenses		1,000
Income Tax Expense		25,800
Net Profit		60,200
Totals	$	497,500			$	497,500
Prepare a properly formatted multistep income statement that would be used for external reporting purposes

BIG TOMMY CORPORATION
Income Statement
For the Year Ended December 31
Net Sales	$497,500
Cost of Goods Sold	-319,000
Gross Profit	178,500
Expenses
Salaries and Wages Expense	68,000
Office Expenses	23,500
Travel Expense	1,000
Income from Operations	86,000
Income Tax Expense	(25,800)
Net Income	$60,200