Reference no: EM132498347

Question - The following items were taken from the November 30, 2019 financial statements of Penny Blossoms Inc.

Office Supplies $17,000

Advertising expense $50,900

Depreciation Expense 24,500

Equipment 426,700

Net Sales 2,646,000

Salaries Payable 3,600

Cash 37,700

Accounts Payable 48,600

Miscellaneous Expense 72,800

Note Payable (due January 1, 2027) 54,000

Cost of goods sold 1,926,000

Salaries Expense 451,800

Merchandise Inventory 180,000

Common share capital 50,000

Accounts Receivable 111,600

Accumulated Depreciation - Equipment 137,000

The beginning retained earnings balance was $404,800. Dividends of $45,000 were paid during the year.

Required - Prepare a multi-step income statement for the year ending November 30, 2019 for Penny Blossoms.