[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 Debit Credit Merchandise inventory (ending) $ 41,000 Other (non-inventory) assets 130,400 Total liabilities $ 25,000 K. Valley, Capital 184,550 K. Valley, withdrawals 8,000 Sales 225,600 Sales discounts 2,250 Sales returns and allowances 12.000 Cost of goods sold 74,500 Sales salaries expense 32, eee Rent expense-Selling space 8,000 Store supplies expense 1,500 Advertising expense 13,000 office salaries expense 28,500 Rent expense-Office space 3,600 office supplies expense Totals $ 355, 150 $ 355, 150 Beginning merchandise Inventory was $25,400. Supplementary records of merchandising activities for the year ended August 31 reveal the following itemized costs. Invoice cost of merchandise purchases $ 92,000 Purchases discounts received 2,000 Purchases returns and allowances 4,500 Costs of transportation-in 4,600 400 Required information Prepare a multiple-step Income statement that includes separate categories for net sales, cost and general and administrative expenses. VALLEY COMPANY Income Statement For Year Ended August 31 0 0 Sales Less: Sales discounts Less: Sales returns and allowances Net sales Cost of goods sold Gross profit Expenses Selling expenses Advertising expense Store supplies expense Rent expense-Selling space Sales salaries expense Total selling expenses General and administrative expenses 0 Required information Sales salaries expense o Total selling expenses General and administrative expenses Total general and administrative expenses Total expenses 0 0 Required 1 Required 2 Required 3 Required 4 Prepare a single-step income statement that indludes these expense categories: cc general and administrative expenses. VALLEY COMPANY Income Statement For Year Ended August 31 Expenses Total expenses 0