Calculation of Cost of Goods Sold: Periodic Inventory System Prepare the cost of goods sold section for Havens Gift Shop. The following amounts are known: Beginning merchandise inventory $28,520 Ending merchandise inventory 26,770 Purchases 63,530 Purchases returns and allowances 2,595 Purchases discounts 3,335 Freight-in 475 Cost of goods sold: Havens Gift Shop Cost of Goods Sold Cost of goods sold $