Answer to Question #215529 in Accounting for zuby

Question

Gross sales $ 640,000 $ ? $ ?

Sales discounts ? 25,600 19,200

Sales returns and allowances 19,200 44,800 32,000

Net sales 608,000 1,209,600

Merchandise inventory, January 1 256,000 384,000

Purchases 384,000 768,000

Purchase discounts 7,680 13,440 12,800

Purchase returns and allowances 24,320 31,360 32,000

Net purchases 352,000 672,000

Transportation-in 25,600 38,400 32,000

Net cost of purchases 377,600 761,600 ?

Cost of goods available for sale ? 1,081,600 1,088,000

Merchandise inventory, December 31 ? 384,000 448,000

Cost of goods sold 320,000 ? 640,000

Gross margin 512,000 320,000

In each case, use the following information to calculate the missing information

Answer 1

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