Heart of the CIty Electrical Supplies are merchandisers of household fixtures & fittings The business begun the last quarter of 2017 (October to December) with 25 Starburst Wall Clocks at a total cost of $153.00o. The following transactions took place during the quarter. October 10 100 clocks were purchased on account at a cost of $6,225 each. In addition, Heart paid $120 cash on each clock to have the inventory shipped from tbe vendor's warehouse to their warehouse October 31During the month 9o clocks were sold at a price of $$8 30o each. (2o of ohese mNi clocks sold were on account to a long-stonding customer of the business) November 1 A new batch of 6o clocks was purchased at a total cost of $406 500 November 10 5 of the clocks purchased on November i were returned to the supplier, as November 30 The sales for November were 58 clocks which yielded total sales revenue of December2 Ow and, a further 110 clocks were purchased at a cost of they were damaged $428,000 ing to increased derm $7,400 each and these were subject to a trade discount of 2% each. December 6 William Paul, a customer to whom s clocks were sold at the start of the first business day in November, returned 2 of the clocks, as they did not match his specifications. 117 clocks were sold during December at a unit selling price of $9.220 December 31 December 31 An actual inventory count was carried out which revealed that there were 22 Starburst wall dlocks in the store room. Unless otherwise stated, assume that all purchases are on account and all sales are for cash. Required: i) Prepare a perpetual inventory record for this merchandise, using the last in, first out (LIFO) method of inventory valuation, to determine the company's cost of goods sold for the quarter and the value of ending inventory Given that selling & distribution and administrative costs for the quarter were $96,Soo and $134,400 respeetively, prepare an income statement for Heart of the City ii) Electrical Supplies for the period ended December 31, 201 i) State the journal entries necessary to record the transactions on October 10 and October Periodic inventory system Perpetual inventory system 31, assuming the company uses a