The cost accountant for Sunset Fashions has compiled the following information for last quarter’s operations: Administrative costs $ 228,000 Merchandise inventory, April 1 49,000 Merchandise inventory, June 30 39,500 Merchandise purchases 1,730,000 Miscellaneous store costs 41,000 Sales commissions 152,000 Sales revenue 3,170,000 Store lease 47,000 Utilities 55,500 Transportation-in costs 122,000 Wages and benefits 710,000 Required: Prepare a cost of goods sold statement. Prepare an income statement.
The cost accountant for Sunset Fashions has compiled the following information for last quarter’s operations: Administrative costs $ 228,000 Merchandise inventory, April 1 49,000 Merchandise inventory, June 30 39,500 Merchandise purchases 1,730,000 Miscellaneous store costs 41,000 Sales commissions 152,000 Sales revenue 3,170,000 Store lease 47,000 Utilities 55,500 Transportation-in costs 122,000 Wages and benefits 710,000 Required: Prepare a cost of goods sold statement. Prepare an income statement.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
The cost accountant for Sunset Fashions has compiled the following information for last quarter’s operations:
Administrative costs | $ 228,000 |
---|---|
Merchandise inventory, April 1 | 49,000 |
Merchandise inventory, June 30 | 39,500 |
Merchandise purchases | 1,730,000 |
Miscellaneous store costs | 41,000 |
Sales commissions | 152,000 |
Sales revenue | 3,170,000 |
Store lease | 47,000 |
Utilities | 55,500 |
Transportation-in costs | 122,000 |
Wages and benefits | 710,000 |
Required:
-
Prepare a cost of goods sold statement.
-
Prepare an income statement.
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