Tilton Department Store uses a periodic inventory system. The adjusted trial balance of Tilton Department Store at December 31, 2018,

follows:

Tilton Department Store
Adjusted Trial Balance
December 31, 2018
		Balance
	Account Title	Debit	Credit
	Cash	$7,600
	Accounts Receivable	84,500
	Merchandise Inventory (beginning)	37,600
	Office Supplies	400
	Furniture	90,000
	Accumulated DepreciationFurniture		$18,100
	Accounts Payable		29,300
	Salaries Payable		3,600
	Unearned Revenue		14,400
	Notes Payable, long-term		34,000
	Tilton, Capital		65,500
	Tilton, Withdrawals	88,900
	Sales Revenue		392,000
	Purchases	298,000
	Purchase Returns and Allowances		115,000
	Purchase Discounts		6,600
	Freight In	100
	Selling Expense	41,900
	Administrative Expense	26,100
	Interest Expense	3,400
	Total	$678,500	$678,500

Prepare Tilton Department Store's multi-step income statement for the year ended December 31, 2018. Assume ending Merchandise Inventory is $36,200. (Use a minus sign or parentheses to show other expenses.)

Begin by calculating the gross profit, then complete the income statement in the next step.

Tilton Department Store

Income Statement

Year Ended December 31, 2018

		Less:
		Plus:
	Less:
Gross Profit

Net Income (Loss)

Journalize Tilton Department Store's closing entries. (Record debits first, then credits. Select the explanation on the last line of the journal entry table.)