Ex $4$ Presented below are the amounts in Chico Co$.$ major Income Statement components. Warren uses the perpetual method. Determine the missing amounts.

Example $1$

Sales

Cost of Merchandise Sold $($CMS$)$

Gross Profit

Operating Expenses

Net Income

Example $2$

$$108,000$

$\frac{(a)}{\text{\$}30,000}$

$($b$)$

$$11,800$

Example $3$

$($e$)$

$\frac{71,900}{\text{\$}62,600}$

$($d$)$

$=$$$29,500$

$(e)$

$71,900$

$$62,600$

Ex $5$ When using the periodic method, a company does not have a CMS account. The company must therefore calculate the CMS on the Income Statement. Fill in the appropriate amounts and $ signs when needed.

Sales

Beginning Inventory

Purchases

Purchase Returns & Allow.

Purchase Discounts

Net Purchases

Freight$-$In

Cost of merchandise purchases

$($b$)$

Cost of Merch. Available for Sale

$$7,800$

Ending Inventory

$1,310$

Cost of Merchandise Sold

$($c$)$

Gross Profit

$($d$)$

$($h$)$

$($i$)$

$3,600$

$43,300$

$($j$)$