Assume that Lehman Company uses a periodic inventory system and has these account balances: Purchases $416,356; Purchase Returns and Allowances $10,864; Purchase Discounts $7,218; and Freight-in $15,242. Also assume that Lehman Company has beginning inventory of $58,657, ending inventory of $88,514, and net sales of $654,399. Determine the amounts to be reported for cost of goods sold and gross profit. Find:
1- Cost of goods sold
2- Gross profit