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Sellall Department Stores reported the following amounts in its adjusted trial balance prepared as of its December 31 year-end: Administrative Expenses, $2,100; Cost of Goods Sold, $21,060; Income Tax Expense, $2,930; Interest Expense, $1,500; Interest Revenue, $180; General Expenses, $2,300; Sales Revenue, $39,000; Sales Discounts, $1,950; Sales Returns and Allowances, $1,755; and Delivery (freight-out) Expense, $270.

Prepare a multistep income statement for distribution to external financial statement users. Help fill in the blank and the rest of the table
SELLALL DEPARTMENT STORES

Income Statement
For the Year Ended December 31
Cost of Goods Sold 21,060
Gross Profit
Operating Expenses 4,670
Income from Operations
Interest Revenue 180
Income before Income Tax Expense
Net Income $

Answer 1

Step-by-step explanation:

In the income statement, the total revenues and the total expenses are recorded.

If the total revenues are more than the total expenditure then the company earns net income

And, If the total revenues are less than the total expenditure then the company have a net loss

This net income or net loss would reflect in the statement of the retained earning account.

The net sales would be = Sales revenue - sales discount - sales return and allowances

= $39,000 - $1,950 - $1,755

= $35,295

The preparation of the income statement is presented in the spreadsheet. Kindly find the attachment below: