Question - The following items appeared on the income statement of a merchandising concern:
Transportation-In $ 3,000
Merchandise Inventory, December 31, 2001 35,000
Purchases 280,000
Net Sales 300,000
Cost of goods available for sale 282,000
Sales discounts 2,000
Sales returns and allowances 18,000
Net purchases 257,000
Purchases returns and allowances 20,000
Calculate the following items (show all work):
a. Sales $_________
b. Merchandise inventory, January 1, 2001 $_________
c. Purchases discounts $_________
d. Cost of Goods Sold $_________
e. Gross profit on Sales $_________