Computing cost of goods purchased and cost of goods sold. The data below are for Marvin Department Store. The account balances (in thousands) are for 2007.

Marketing, distribution, and customer-service costs $ 44,400 Merchandise inventory,January 1, 2007 32,400 Utilities 20,400 General and administrative costs 51,600 Merchandise inventory, December 31, 2007 40,800 Purchases 186,000 Miscellaneous costs 4,800 Transportation-in 8,400 Purchase returns and allowances 4,800 Purchase discounts 7,200 Required Compute

(a) cost of goods purchased and

(b) cost of goods sold.

PROBLEMS