Kleiner Merchandising Company Accumulated depreciation$ 700 8,000 3,600 1,750 8,700 15,500 Beginning inventory Ending Inventory Expenses Net Purchases Net Sales Krug Service Company Expenses Revenues Cash Prepaid rent Accounts payable Equipment $ 9,100 20,000 800 840 200 1,900 Required: aCompute gross profit, the goods available for sale, and the cost of goods sold for the merchandiser. Hint Not all information may be necessary b. Use the above information from a service company and from a merchandiser to compute net income Goods available for sale Cost of goods sold Gross profit a. b. Net income for Krug Service Company Net income for Kleiner Merchandising Company Prepare journal entries to record each of the following transactions of a merchandising company. The company uses a perpetual inventory system and the gross method. Nov. 5 Purchased 950 units of product at a cost of $12 per unit. Terms of the sale are 5/10, n/60; Nov. 7 Returned 40 defective units from the November 5 purchase and received full credit. the invoice is dated November 5 Nov. 15 Paid the amount due from the November 5 purchase, less the return on November 7 View transaction list Journal entry worksheet 2 3 Purchased 950 units of product at a cost of $12 per unit. Terms of the sale are 5/10, n/60; the invoice is dated November 5 Note: Enter debits before credits. Date General Journal Debit Credit Nov 05 Record entry Clear entry View general journal