Valley Source Foods Income Statement (Partial) Year Ended December 31, 2019 Sales Revenue $ 116,000 46,000 Cost of Goods Sold $ 70,000 Gross Profit Print Done Valley Source Foods reports merchandine inventory at the lower-of-cost-or-market. Prior to releasing ita financial statements for the year ended December 31, 2019, Valley Source's the year-end adjustments, appears as follows: Click the icon to view the preliminary income statement.) Valley Source has determined that the current replacement cost of ending merchandise inventory is $17,500. Cost is $18,000 Read the requirements Requirement 1. Joumalize the adjusting entry for merchandise Inventory, if any is required. (Record debits first, then credits. Select the explanation on the last line of the joumalt entry, make sure to select "No entry required in the first call in the "Accounts column and leave all other cells blank.) Date Accounts and Explanation Debit Credit Dec 31 Requirement 2. Prepare a revised partial income statement to show how Valley Source Foods should report sales, cost of goods sold, and gross profit. Valley Source Foods Income Statement (Partial) Year Ended December 31, 2019 Sales Revenue Choose from any list or enter any number in the input fields and then continue to the next question. 24 MacBook Air i Requirements on 1. Journalize the adjusting entry for merchandise inventory, if any is required. 2. Prepare a revised partial income statement to show how Valley Source Foods should report sales, cost of goods sold, and gross profit. Print Done to ds and then continue to the next