Larkspur, Inc. completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Larkspur, Inc. showed Cash of $8.400 and Common Stock of $7.800 May 1 Purchased merchandise on account from Black Wholesale Supply for $8.500, terms 1/10, n/30 2 Sold merchandise on account $4.700. terms 2/10, n/30. The cost of the merchandise sold was $3.400. 5 Received credit from Black Wholesale Supply for merchandise returned $200. " Received collections in full, less discounts, from customers billed on May 2 10 Paid Black Wholesale Supply in full, less discount. 11 Purchased supplies for cash $800. 12 Purchased merchandise for cash $3.000 15 17 Received $250 refund for return of poor quality merchandise from supplier on cash purchase 19 Purchased merchandise on account from Wilhelm Distributors for $2.300, terms 2/10/30 Paidfreight on May 17 purchase $270 24 Sold merchandise for cash $6.000. The merchandise sold had a cost of $4,200 25 Purchased merchandise on account from Clasps, Inc. For $900 terms 3/10, 1/30 27 Paid Wilhelm Distributors in full, less discount 29 Made refunds to cash customers for returned merchandise $119. The returned merchandise cost $9. 31 Sold merchandise on account for $1.340 terms n/30. The cost of the merchandise sold was $800. Larkspur, Inc's chart of accounts includes the following: No. 101 Cash, No. 112 Accounts Receivable, No. 120 Inventory, No. 126 Supplies No. 201 Accounts Payable, No. 311 Common Stock, No. 401 Sales Revenue, No. 412 Sales Returns and Allowances, No. 414 Sales Discounts, and No. 505 Cost of Goods Sold Date Account Ties and Explanation Ce record dit sa econd cut of c (To record cha (Te record of merchande sold (To record merchandise tumed v To record cost of merchandise nume (To record cost of merchand Textbook and Media List of Accounts Cash Date Explanation H 31 P D Credit Balance Question 4 of 7 Act Explanation f D Sulance " Inventory Explanation De Brance 21 2 31 11 h Cell #quest Sales Returns and Allowances No. 412 Date Explanation Ref. Debit Credit Balance 31 Sales Discounts No. 414 Date Explanation Ref. Debit Credit Balance 31 Cost of Goods Sold No. 505 Date Explanation Ref. Debit Credit Balance #31 eTextbook and Media List of Accounts 31 31 31 Prepare an income statement through gross profit for the month of May 2022. Larkspur, Inc. Income Statement (Partial) Textbook and Media