The records of Grade A Steak Company list the following selected accounts for the quarter ended April 30, 2012:

Requirements
1. Prepare a multi-step income statement.
2. M. Davidson, manager of the company, strives to earn gross profit percentage of at least 50% and net income percentage of 20%. Did Grade A achieve these goals? Show your calculations.

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800 Accounts payable 45,100 Accounts receivable 47,000 Accumulated depreciation $ 17,000 Interest revenue Inventory Note payable, long-term Salary payable 33,500 37,600 2,400 Retained earnings, Jan 31 2,000 Dividends 7,500 Cash 296,100 Cost of goods sold 38,300 Equipment 5,700 General expenses 38,800 Sales discounts 20,000 Sales returns and allowances 7,600 Sales revenue 162,100 Selling expense Supplies Uncarned sales revenue 130,600 16,300 Common stock 14,500 13,300 Interest payable 1,200