Use the following information for the Problems below. Skip to question [The following information applies to the questions displayed below.] Valley Companys 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 expenseselling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative. Adjusted Account Balances Debit Credit Merchandise inventory (ending) $ 30,000 Other (non-inventory) assets 120,000 Total liabilities $ 34,650 Common stock 61,267 Retained earnings 40,383 Dividends 8,000 Sales 205,200 Sales discounts 3,140 Sales returns and allowances 13,543 Cost of goods sold 80,224 Sales salaries expense 28,112 Rent expenseSelling space 9,644 Store supplies expense 2,462 Advertising expense 17,442 Office salaries expense 25,650 Rent expenseOffice space 2,462 Office supplies expense 821 Totals $ 341,500 $ 341,500 Beginning merchandise inventory was $24,210. Supplementary records of merchandising activities for the year ended August 31 reveal the following itemized costs. Invoice cost of merchandise purchases $ 88,200 Purchases discounts received 1,852 Purchases returns and allowances 4,234 Costs of transportation-in 3,900 Problem 4-3A (Algo) Computing merchandising amounts and formatting income statements LO C1, P4 Required: 1. Compute the companys net sales for the year. 2. Compute the companys total cost of merchandise purchased for the year. 3. Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. 4. Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses