The following unadjusted trial balance is prepared at fiscal year-end for Nelson Company. NELSON COMPANY Unadjusted Trial Balance January 31, 2018 Debit Credit Cash $ 10,700 Merchandise inventory 13,000 Store supplies 5,100 Prepaid insurance 2,300 Store equipment 42,800 Accumulated depreciation-Store equipment $ 19,600 Accounts payable 14,000 Common stock 3, Retained earnings 15, eee Dividends 2,150 Sales 115,850 Sales discounts 2,100 Sales returns and allowances 2,eee Cost of goods sold 38,000 Depreciation expense-Store equipment @ Salaries expense 25,400 Insurance expense @ Rent expense 14,000 Store supplies expense @ Advertising expense 9,900 Totals $167,450 $167,450 Rent expense and salaries expense are equally divided between selling activities and general and administrative activities. Nelson Company uses a perpetual inventory system, Rent expense and salaries expense are equally divided between selling activities and general and administrative activities. Nelson Company uses a perpetual inventory system. Additional Information: a. Store supplies still available at fiscal year-end amount to $2,350. b. Expired insurance, an administrative expense, for the fiscal year is $1,500. c. Depreciation expense on store equipment, a selling expense, is $1,575 for the fiscal year. d. To estimate shrinkage, a physical count of ending merchandise inventory is taken: It shows $10.400 of inventory is still available at fiscal year-end, Required: 1. Using the above information prepare adjusting journal entries: 2. Prepare a multiple-step income statement for fiscal year 2018 3. Prepare a single-step income statement for fiscal year 2018. Complete this questions by entering your answers in the below tabs. Required 1 Required 2 Required 3 Prepare a multiple step income statement for fiscal year 2018 4 NELSON COMPANY Income Statement For Year Ended January 31, 2018 Sales Less Sales discounts Less: Sales returns and allowances Part 1 of 2 0 0 Doints 0 Cost of goods sold Gross profit Expenses Selling expenses Sales salaries expense Rent expense Selling space Store supplies expense Advertising expense 0 Total selling expenses General and administrative expenses Insurance expense Rent expenso Office space Total neral and ministrative arrancas of 2 Required 1 Required 2 Required 3 Prepare a single-step income statement for fiscal year 2018 NELSON COMPANY Income Statement For Year Ended January 31, 2018 Expenses Total expenses 0