Chapter 5, Problem 5.8SE

Use the following information to answer Short Exercises S5-8 and S5-9.

Carissa Communications reported the following figures from its adjusted trial balance for its first year of business, which ended on July 31, 2016:

Cash	$ 4,100
Cost of Goods Sold	$ 18,800
Selling Expenses	1,300
Equipment, net	8,500
Accounts Payable	4,900
Accrued Liabilities	2,000
Common Stock	2,820
Sales Revenue	42,000
Notes Payable, long-term	400
Accounts Receivable	3,400
Merchandise Inventory	1,200
Interest Expense	20
Administrative Expenses	3,100
Sales Discounts	4,300
Sales Returns and Allowances	7,400

Preparing a merchandiser’s income statement

Prepare Carissa Communications’s multi-step income statement for the year ended July 31, 2016.