Inventory: January 1, 2023

$24,000

Purchases of inventory (on account)

159,000

Sales of inventory — 75 percent on account; 25 percent for cash (cost $139,000)

235,000

Inventory at FIFO cost December 31, 2023

Requirement 1. Journalize

Ken's

Company's inventory transactions for the year in the perpetual system.The first transaction is the purchase of inventory. Record the entry. (Record debits first, then credits. Exclude explanations from journal entries.)

Date	Accounts	Debit	Credit
December 31

Part 2The next transaction is the sale of inventory. Record the entry.

Date	Accounts	Debit	Credit
December 31

Part 3The last entry is recording the cost of inventory. Record the entry.

Date	Accounts	Debit	Credit
December 31

Part 4Requirement 2. Report ending inventory, sales, cost of goods sold, and gross margin on the appropriate financial statement.Report ending inventory on the balance sheet.

Balance Sheet:
Current assets:

Part 5Report sales, cost of goods sold, and gross margin on the income statement.

Income Statement: