Show all your calculations. The following selected information for the year ended October 31, 2022 is for Jackson Inc.: Advertising expense 81,000 Purchases returns and allowances 40,000 Freight In 20,000 Rent expense 24,000
Freight Out 24,000 Salaries expense 285,000 Income tax expense 52,600 Sales 1,410,000
Inventory, November 1, 2021 90,000 Utilities expense 13,200 Inventory, October 31, 2022 51,600 Purchases 820,000 Purchase discounts 11,000 Instructions (a) Prepare a multiple-step statement of income for Jackson Inc. for the year ended October 31, 2022. (b) Prepare the year-end adjusting entry that would be made to update the inventory and Cost of Goods Sold accounts.