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Valley Company's adjusted account balances from its general ledger on August 31, its fiscal year-end, follows. It categorizes the following accounts as selling expenses: sales salaries expense, rent expense-selling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative.

Required:

1. Compute the company's net sales for the fear.
2. Compute the company's total cost of merchandise purchased for the year.
3. Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses.
4. Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses..
5. Prepare closing entries as of August 31 (the perpetual inventory system is used

\begin{tabular}{|l|r|} \hline & \\ \hline Total general and administrative expenses & 0 \\ \hline Total expenses & 0 \\ \hline \end{tabular} Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses. and general and administrative expenses. Journal entry worksheet Record the entry to close the Dividends account. Note: Enter debits before credits. Journal entry worksheet Record the entry to close the income statement accounts with credit balances. Note: Enter debits before credits. Journal entry worksheet Record the entry to close income summary. Note: Enter debits before credits. Complete this question by entering your answers in the tabs below. Compute the company's net sales for the year. Complete this question by entering your answers in the tabs below. Compute the company's total cost of merchandise purchased for the year. Required: 1. Compute the company's net sales for the year. 2. Compute the company's total cost of merchandise purchased for the year. 3. Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. 4. Prepare a single-step income statement that includes these expense categories: cost of goods sold, selling expenses, and general and administrative expenses. Record the entry to close the income statement accounts with debit balances. [The following information applies to the questions displayed below.] Valley Company's adjusted account balances from its general ledger on August 31, its fiscal year-end, follows. It categorizes the following accounts as selling expenses: sales salaries expense, rent expense-selling space, store supplies expense, and advertising expense. It categorizes the remaining expenses as general and administrative. Beginning merchandise inventory was $35,912. Supplementary records of merchandising activities for the year ended August 31 reveal the following itemized costs

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