i.) Prepare an income statement for Harry's Haberdashery dated December 31, 20X5. HARRY HABERDASHERY INCOME STATEMENT FOR MONTH ENDED DEC. 31, 20X5 Sales Revenue 190000 Less ' Sales Returns & Allowances 2000 Net Sales 188000 Less Cost of Goods Sold 76815 Gross Profit 111185 Operating Expenses Utilities xpense Office Supplies Expense v Depreciation Expense Rent Expense Insurance Expense Salaries Expense 4700 950 2350 5000 750 47000 Less Cost vi Goods Sold 76815 Gross Profit 111185 perating Expenses ' 4700 Utilities Expense Office Supplies Expense Depreciation Expense Rent Expense 950 2350 5000 Insurance Expense 750 Salaries Expense 47000 Total Expenses 60750 Income Before Taxes 50435 Income Tax Expense 6950 Net Income 43485 Compute the store's gross profit margin as a percentage of net sales. (Round answer to 2 decimal places, e-g. 52.75) ross profit margin 14 SHOW SOLUTION Attempts: 2 of 3 used r (d) Inventory Calculations eaton Accessories uses a perpetual inventory system. The company's beginning inventory of a particular product and its purchases during the month of January Beginning Inventory (Dan. 1) Purchase (Jan. 9) Purchase (Jan. 21) Total Quantity Unit Cost Total Cost $50 $9,000 4,950 5,040 $18,990 180 90 90 360 56 On January 24, Keaton sold 200 units of this product. The other 160 units remain in inventory at January 31. i.) Determine the cost of goods sold using each of the following flow assumptions: LIFO FiFO Average Cost (d) Inventory Calculations Accessories uses a perpetual inventory system. The company's beginning inventory of a particular product and its purchases during the month of January were as follows Beginning Inventory (an. 1) Purchase (1an. 9) Purchase (Jan. 21) 180 90 90 360 t Cost Total Cost $50 $9,000 4,950 5,040 $18,990 56 On January 24, Keaton sold 200 units of this product. The other 160 units remain in inventory at January 31. L)Dete m nethe costoto ods sold using each of thefollowingnow assumptions LFO Average Cost %) Determine the cost of the 100 units in inventory at january 31 using each of the folowing flow assumptions LIFO FIFO Average Cost