Clever CutsClever Cuts is a retail chain specializing in salon-quality hair-care products. During the year, Clever CutsClever Cuts had sales of $ 39 comma 410 comma 000$39,410,000. The company began the year with $ 3 comma 775 comma 000$3,775,000 of merchandise inventory and ended the year with $ 4 comma 750 comma 000$4,750,000 of inventory. During the year, Clever CutsClever Cuts purchased $ 21 comma 400 comma 000$21,400,000 of merchandise inventory. The company's selling, general, and administrative expenses totaled $ 7 comma 185 comma 000$7,185,000 for the year. Prepare Clever Cuts'Clever Cuts' income statement for the year. \ Question content area bottom\ Part 1\ Begin by calculating Clever Cuts'Clever Cuts' cost of goods sold using the table below.\ Clever Cuts\ Calculation of Cost of Goods Sold\ For the Year Ended\ Beginning inventory\ 3,775,000\ Plus:\ Purchases\ 21,400,000\ Cost of goods available for sale\ \ Less:\ \ \ \ \ \ Part 2\ Now prepare Clever Cuts'Clever Cuts' income statement for the year. \ Clever Cuts\ Income Statement\ For the Year Ended\ \ \ Less:\ \ \ \ \ \ Less: