Cold E4.1 - The balances in some of the accounts in the adjusted trial balance on December 31, 20X7, of Lenny's Clothesline, Inc., a retailer of menswear that uses a perpetual inventory system, included the following: Cash = $81,000 Accounts receivable (net) = $790,000 (beginning balance on January 1, 20X7 was $750,000) Inventory = $280,000 (beginning balance on January 1, 20X7 was $240,000) Equipment $1,000,000 Accounts payable = $300,000 Common stock = $3,500,000 Retained earnings = $1,500,000 Sales = $9,240,000 (all credit sales) Salary and wage expense = $4,000,000 Advertising expense = $450,000 Rent expense = $400,000 Business travel & entertainment expense = $110,000 Insurance expense = $85,000 Communications expense = $150,000 Cost of goods sold = $2,990,000 Deprecation expense: plant & equipment = $50,000 > Utility expense = $95,000 Income tax expense = $364,000 Dividends = $100,000 ok Prepare the income statement for the year ended December 31, 20X7, for Lenny's Clothesline, Ine. E42 Based on your answer to exercise 4.1, calculate: a) the gross profit percentage, and b) the net profit margin for the year ended December 31, 20X7, for Lenny's Clothesline, Inc. E43 Based on the information provided in exercise 4.1, calculate: a) inventory turnover, b) average days of sale in inventory, c) accounts receivable turnover, d) average collection period, e) operating cycle Canaruldar lahe MacBook Air