Use the unadjusted trial balance of Electric Bike on December 31, 2020. Debit Credit Cash $ 8,800 Accounts receivable 23,365 Merchandise inventory 35,300 Store supplies 2,765 Office supplies 845 Prepaid insurance 3,955 Equipment 82,190 Accumulated depreciation, equipment $ 14,355 Accounts payable 8,700 Salaries payable 0 Braeden Li, capital 181,215 Braeden Li, withdrawals 65,500 Interest income 380 Sales 532,500 Sales returns and allowances 5,770 Cost of goods sold 381,860 Salaries expense 97,000 Rent expense 29,800 Supplies expense 0 Depreciation expense, equipment 0 Insurance expense 0 Totals $ 737,150 $ 737,150 Required: 1. Record adjusting entries for the following information. a. The records show that the equipment was estimated to have a total estimated useful life of 10 years with a residual value at the end of its life of $15,190. b. The balance in the Prepaid Insurance account was reviewed and it was determined that $290 was unused at December 31, 2020. c. A review of the store supplies on December 31, 2020, revealed a balance on hand of $2,210; a similar examination of the office supplies showed that $675 had been used. d. Accrued salaries payable, $2,150. e. A count of the merchandise inventory revealed a balance on hand December 31, 2020, of $34,430.

Prepare a multiple-step income statement showing the expenses in detail.