Computing cost of goods sold and operating income, merchandising company Consider the following partially completed income statements for merchandising companies and compute the missing amounts: Smith, Inc. Allen, Inc. Net Sales Revenue 101,000(d) Cost of Goods Sold: Beginning Merchandise Inventory Purchases and Freight In Cost of Goods Available for Sale Ending Merchandise Inventory Cost of Goods Sold 29,000 50,000 89,000 (2,200) 61,000 40,000 (2,200) Gross Profit Selling and Administrative Expenses Operating Income 114,000 84,000 $ 12,000 (g)