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Prepare Statements for a Merchandising Company
The cost accountant for Sun & Surf Apparel Shop has compiled the following information for last year's operations:
Administrative costs
$ 146,400
Merchandise inventory, January 1
26,000
Merchandise inventory, December 31
25,000
Merchandise purchases
1,220,000
Sales commissions
85,700
Sales revenue
1,868,000
Store rent
28,800
Store utilities
5,460
Transportation-in costs
9,240
Required
Prepare an income statement with a supporting cost of goods sold statement.
Companies use straight-line depreciation
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