Presented here is information related to Baja Co. for the month of January 2001:

Beginning merchandise inventory was $42,000, and ending inventory was $63,000.
Instructions Prepare an income statement using the format presented on page 253. Operating expenses should not be divided into selling and administrative expenses.

Transcribed Image Text:

Freight-in Rent expense Freight-out Salary expense Insurance expense $ 10,000 20,000 7,000 61,000 12,000 Sales discounts 8,000 Purchases 200,000 Sales returns and allowances 13,000. Purchase discounts 3,000 Sales 312,000 Purchase returns and allowances 6,000