Question

- George Milon is the sole proprietor of Lavish Pas, a business secing in the sale of high-end pet gifts and accessories Lavish Puts sales toated 1.125.000 during the most recent year. During the year, the company spent 556.500 on expenses relating to website manano 530 600 on marketing, and 26.800 on wrapping boxing, and shipping the goods to customers. Lavish Pets spent $630.000 on inventory purchases and an additional $21.300 on thin charges The company started the year with $17.30 of Inventory on hand and ended the year wth $18.800 of inventory Prepare Lavish Pets income statement for the most Begin by dating the cost of goods sold for the year Lavish Pets Cost of Goods Sold For Current Year P Cost of goods sold Prepare a comment for the most recent year Income Statement For Current Year

Answer 1

Please Check with the Amounts in the Solution provided. as the image is Slightly Blurr i have taken to my best.

Lavish Pets Cost of Goods sold For the current year
Beginning Inventory	$ 17,350
Plus: Purchases and freight in            ( $ 639,000 + $ 21,300 )	$ 660,300
Cost of goods available for Sale	$ 677,650
Less: Ending Inventory	($ 16,800)
Cost of goods sold	$ 660,850
Lavish Pets Income Statement For the current year
Sales Revenue		$ 1,125,000
Less: Cost of goods sold		($ 660,850)
Gross Profit (or) Gross Margin		$ 464,150
Less: Operating expenses
Website Maintenance expenses	$ 56,500
Marketing expense	$ 30,600
Shipping expense	$ 28,800	($ 115,900)
Net Operating Income or Net Income		$ 348,250