Ing Tor Merchandising 4-14A Sales returns, iscounts, gain, and a multistep income statement

The following information as drmvn from the 2016 accounting records of Ozark Merchandisers:

1- Inventory that had cost S21.2(X) was sold for $39,900 under terms 2/20, net/ 30.

2- customers returned merchandise to Ozark five days after the purchase. The merchandise had been sold for a price of SIS20- The merchandise had cost Ozark $920.

3- All customers paid their accounts within the discount period.

4- Selling and administrati'.e expenses amounted to $4,200. Interest expense paid amounted to S360.

6. Land that had cost S8.OOO was sold for S9,250 cash.

Required

a.Determine the amount of net sales

b.Prepare a multistep income statement.

c. Where would the interest be shown on the statement of cash flows?

d. How would the sale of the land be shown on the statement of cash flows?

e. Explain the difference between a gain and revenue.