Presented below are selected account balances for Sage Co. as of December 31, 2017.Inventory 12/31/17 $61,060 Cost of Goods Sold $223,482Common Stock 73,650Selling Expenses 15,959 Retained Earnings 45,870Administrative Expenses 38,595Dividends 17,785Income Tax Expense 30,520Sales Returns and Allowances 12,014Sales Discounts 14,740Sales Revenue 405,510(Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select “No entry” for the account titles and enter 0 for the amounts.)Account TitleSales revenueIncome SummaryIncome SummaryCost of goods soldSelling ExpensesAdministrative ExpensesIncome Tax ExpenseSales discountsSales returns and allowances DebitCredit…