Using your accounting knowledge, find the missing amounts in the following separate income statements. (Amounts to be deducted should be indicated by a minus sign.) a b c d e
Sales $62,000 $43,500 $46,000 fill in blank $25,600
Cost of goods sold
Merchandise inventory
(beginning) 8,000 17,050 7,500 8,000 4,560
Total cost of
merchandise purchases 38,000 fill in blank fill in blank 32,000 6,600
Merchandise inventory
(ending) (11,950) (3,000) (9,000) (6,600) (4,160)
Cost of goods sold 34,050 16,000 fill in blank fill in blank 7,000
Gross profit 27,950 fill in blank 3,750 45,600 18,600
Expenses 10,000 10,650 12,150 3,600 6,000
Net income (loss) $17,950 $16,850 $(8,400) $42,000 $12,600

1. Sales of column d = 79,000

2. Total cost of merchandise purchases of column b = $1,950

3. Total cost of merchandise purchases of column c = $43,750

4. Cost of goods sold of column c = $42,250

5. Cost of goods sold of column d = $33,400

6. Gross profit of column b = $27,500

Explanation:

Note: See the attached excel for the calculations

The following formulas are used in the calculations in the attached excel file:

Sales =  Cost of goods sold + Gross profit  

Total cost of merchandise purchases = Cost goods sold - Beginning merchandise inventory + Ending merchandise inventory

Cost goods sold = Beginning merchandise inventory + Total cost of merchandise purchases - Ending merchandise inventory

Gross profit = Sales - Cost of goods sold

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