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At the beginning of June, Circuit Country has a balance in inventory of $2,450. The following transactions occur during the month of June. June 2

At the beginning of June, Circuit Country has a balance in inventory of $2,450. The following transactions occur during the month of June.

June 2 Purchase radios on account from Radio World for $2,150, terms 2/15, n/45.
June 4 Pay cash for freight charges related to the June 2 purchase from Radio World, $290.
June 8 Return defective radios to Radio World and receive credit, $300.
June 10 Pay Radio World in full.
June 11 Sell radios to customers on account, $3,900, that had a cost of $2,650.
June 18 Receive payment on account from customers, $2,900.
June 20 Purchase radios on account from Sound Unlimited for $3,250, terms 2/10, n/30.
June 23 Sell radios to customers for cash, $4,750, that had a cost of $3,050.
June 26 Return damaged radios to Sound Unlimited and receive credit of $300.
June 28 Pay Sound Unlimited in full.

2. Prepare the top section of the multiple-step income statement through gross profit for the month of June. (Net Sales, Cost of Goods Sold, and Gross Profit)

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