Question

What is the Cost of Merchandise (goods) sold

Prepare an income statement for Hansen Realty for the year ended December 31, 2020. Beginning inventory was $1,245. Ending inventory was $1,597. (Input all amounts as positive values.) $ 34,600 1,089 1,149 10,362 537 Sales Sales returns and allowances Sales discount Purchases Purchase discounts Depreciation expense Salary expense Insurance expense Utilities expense Plumbing expense Rent expense 112 5,050 2,450 207 247 177 $ 32,362 $ 32,362 HANSEN REALTY Income Statement For Year Ended December 31, 2020 Net sales Cost of merchandise (goods) sold Gross profit from sales Operating expenses: Insurance 2,450 Utilities 207 Plumbing 247 Rent 177 Salary 5,050 Depreciation 112 Total operating expenses 8,243 24,119 $

Answer 1

Answer

Income Statement
Net Sales		$32,362
Cost of Merchandise Sold		$9,473
Gross Profits from sales		$22,889
Operating expenses:
Insurance expense	$2,450
Utilities expense	$207
Plumbing expense	$247
Rent expense	$177
Salary expense	$5,050
Depreciation expense	$112
Total Operating expense		$8,243
Income from Operation or Operating Income [Net Income]		$14,646

--Cost of Goods Sold

Beginning Inventory	$1,245
Purchases	$10,362
Purchase discounts	($537)
Total Cost of Goods available for sale	$11,070
Less: Ending Inventory	$1,597
Cost of Merchandise Sold	$9,473