Basic transactions for three accounting cycles: perpetual system
Ferguson Company was started in 2008 when it acquired $60,000 from the issue of common stock. The following data summarize the company's first three years' operating activities. Assume that all transactions were cash transactions.
|
2008
|
2009
|
2010
|
|
Purchases of inventory
|
$24,000
|
$12,000
|
$20,500
|
|
Sales
|
26,000
|
30,000
|
36,000
|
|
Cost of goods sold
|
13,400
|
18,500
|
20,000
|
|
Selling and administrative expenses
|
5,500
|
8,200
|
10,100
|
Required
Prepare an income statement (use the multistep format) and balance sheet for each fiscal year.