Reference no: EM131604427

Calculations of Merchandising Accounts

1. After having studied the material assigned, complete the following assignment:

Net Sales

Based on the following, calculate net sales:

• 99 Sales Discount $15 Purchases $
• Gross Sales 179 Operating Expenses 45
• Sales Returns and Allowances 13

Cost of Goods Sold

Calculate Cost of Goods Sold:

• LO1 (5 min)
• Freight-In $3
• 2 Ending Inventory $
• Beginning Inventory 6
• Net Purchases 65

Gross Profit and Net Income

From the following information, calculate:

• Gross profit
• Net income or net loss
• Purchases, $98;
• Gross Sales, $180;
• Sales Returns and Allowances, $17;
• Sales Discounts, $23;
• Operating Expenses, $46;
• Net Sales, $140;
• Freight-In, $8;
• Beginning Inventory, $16;
• Ending Inventory, $5;
• Net Purchases, $65;
• Cost of Goods Sold, $84