LET'S LEVEL UP DIRECTIONS: With the given amounts below, prepare the income statement of SC&MC Traders for the year-ended December 31, 2020 using the multi-step approach

LET'S LEVEL UP DIRECTIONS: With the given amounts below, prepare the income statement of SC&MC Traders for the year-ended December 31, 2020 using the multi-step approach. In a separate schedule, show the computation of the Cost of Goods Sold. P 2,463,500.00 Gross Sales Transportation-In P 82,360.00 Merchandise Inventory, 1/1/2020 528,000.00 Purchases 1,264,000.00 Sales Returns and Allowances 27,500.00 Purchase Discounts 21,360.00 Merchandise Inventory, 12/31/2020 1,796,000.00 Sales Salaries 225,000.00 Store Supplies Expense 15,400.00 Transportation-Out 57,400.00 Insurance Expense-Distribution 5,600.00 Office Salaries Expense 171,000.00 Utilities Expense 48,000.00 Depreciation Expense- Building 26,000.00 Office Supplies Expense 12,040.00 Depreciation Expense- Office Equipment 22,000.00 Insurance Expense-General 3,600.00 Accounts Payable 25,678.50 ACTIVITY 3: PREPARE TO EARNI DIRECTIONS: Given the selected amounts from the accounting records of Bicol Souvenirs, prepare the income statement for the year-ended December 31, 2020 using the multi-step approach. (25 points) Accounts Receivable P 48,300.00 Owner's Equity, 1/1/2020 P 126,070.00 Accumulated Depreciation 18,700.00 Purchases Cost of Goods Sold 91,300.00 ? Purchase Discounts Distribution Cost 3,000.00 37,840.00 Purchase Returns Freight-In 2,000.00 2,200.00 Sales General Expenses 301,000.00 23,800.00 Sales Discounts Merchandise Inventory,1/1/2020 9,000.00 21,870.00 Sales Returns Merchandise Inventory, 12/31/2020 16,000.00 19,450.00 Unearned Revenues Other Operating Expenses 6,500.00 1,500.00