complete the profit or loss statement.
I. Solve the following problem using MS Excel
In many situations, a retailer may not compile a profit or loss statement for individual
departments. Suppose that you are a retail buyer, and you decide to recreate the statement for your own
department using the following data:
Gross sales of $72,300.00, net sales of $60,900.00, opening inventory of $13,900.00, ending
inventory of $19,400.00, purchases of $14,000.00, inward freight of 2%, cash discounts of 5%,
returns to vendors of $500.00, alterations and workroom costs of 3%, direct expenses of
$19,600.00 and total expenses worth $35,000.00, complete the profit or loss statement.
(Hint: Remember that freight and cash discount %’s are calculated as % of Purchases, while the
alteration/workroom costs % is expressed as % of NS).
Trending now
This is a popular solution!
Step by step
Solved in 2 steps with 2 images
