[The following information applies to the questions displayed below: The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company Nelson company uses & perpetual inventory system. It categorizes the following accounts as selling expenses: Depreciation Expense-Store Equipment, Ssles Salories Expense, Rent Expense-Seiling Space, Store Supplies Expense, and Advertising Expense. It categorizes the remaining expenses as general and administrative. NELSON COMPANY Unadjusted trial Balance January 31 Credit Debat $ 26,920 14,828 5. Be 2.200 42.780 $ 19,550 16,000 5.800 32.000 2.050 115,100 Cash Merchandise inventory Store supplies Prepaid insurance Store equipment Accumulated depreciation-store equipment Accounts payable Common stock Retained earnings Dividends Sales Sales discounts Sales returns and allowances Cost of goods sold Depreciation expense-Store equipment Sales salaries expense office salaries expense Insurance exponse Rent expense Selling space Rent expense Office space Store supplies expense Advertising expense Totals 1,950 2,150 38. Bee 14,350 14,350 7.820 7.000 9.5ee $187.650 $187,650 Additional Information: a. Store supplies still available at fiscal year-end amount to $2.900. b. Expired insurance, an administrative expense, is $1,650 for the fiscal year. c. Depreciation expense on store equipment, a selling expense, is $1.500 for the fiscal year. d. To estimate shrinkage, physical count of ending merchandise inventory is taken. It shows $10,100 of inventory is still available at fiscal year-end. 1. Using the above information, prepare sdjusting joumai entries. 2. Prepare a multiple-step income statement for the year ended Jonuery 31 3. Prepare a single-step income statement for the year ended January 31. 1 Store supplies still available at fiscal year-end amount to $2,900. 2 Expired insurance, an administrative expense, is $1,650 for the fiscal year. 3. Depreciation expense on store equipment, a selling expense, is $1,500 for the fiscal year. 4 To estimate shrinkage, a physical count of ending merchandise inventory is taken. It shows $10,100 of inventory is still available at fiscal year-end. NELSON COMPANY Income Statement For Year Ended January 31 0 0 0 Expenses Selling expenses 0 Total selling expenses General and administrative expenses Total general and administrative experises Total expenses 0 0 NELSON COMPANY Income Statement For Year Ended January 31 Expenses Total expenses 0