Partial Multiple-Step Income Statement Assignment
February 24th, 2020
XYZ company had the following information during the month of January, 2009: Beginning Inventory $440,000 Purchases $500,000 Purchases returns and allowances $50,000. Purchases Discount $60,000 Transportation Out $20,000 Transportation in $40,000 Sales $600,000;
Sales returns and allowances $10,000 and Sales discount was $15,000, while sales commission was 10% of gross sales and cost of goods sold is 60% of Net Sales. Required: Prepare a partial multiple-step income statement showing the Gross Profit of the company and also clearly showing the cost of ending inventory. .
