-> Canvas New Tab D Accounts $ 345,600 Inventory. December 31, 2020 $ 302,400 Purchases $ 547,200 ZOOM + 1. The following are selected accounts taken from the adjusted trial balances of the Purell Merchandise company on December 31, 2020: Inventory, January 1, 2020 SSS Credit Debit Purchase discount & retum S 28.800 Interest expense Selling expenses Administrative expenses Loss on sale of equipment Cash dividends to common stocks Loss from a tornado in 2020 ssssss S 2,880 S 93,600 S 129,600 $ 21.600 20.736 S 23,040 Sales revenue $ 864,000 Sales return &allowance Sales discount SS 5,760 2.880 Rent revenue S 43,920 Interest income $ 2.448 Additional information: a. The company sold Division K (a component of the company) in 2020. The numbers provided above do not include Division K. The book value of Division K's net assets is $240,000 at the time of sale. The company sold Division K for cash $192,000. During 2020 before its sale, Division K earned revenues of 264,000 and incurred expenses of 156,000 (which do not include income tax expense). b. 20,000 shares of common stock were outstanding the entire year. C. Income tax rate for all items is 21%.