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On September 1, Nixa Office Supply had an inventory of 35 calculators at a cost of $14 each. The company uses a perpetual inventory system. During September, the following transactions occurred.
Sept. 6 Purchased 90 calculators at $23 each from York, terms net/30.Sept. 9 Paid freight of $90 on calculators purchased from York Co.Sept. 10 Returned 5 calculators to York Co. for $120 cash (including freight) because they did not meet specifications.Sept. 12 Sold 27 calculators costing $24 (including freight) for $32 each to Sura Book Store, terms n/30.Sept. 14 Granted credit of $32 to Sura Book Store for the return of one calculator that was not ordered.Sept. 20 Sold 34 calculators costing $24 for $36 each to Davis Card Shop, terms n/30.
Net income (or net loss) during 2010, assuming that as of December 31, 2010, assets were $960,000, liabilities were $156,000, and no additional capital stock was issued or dividends distributed.
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