Name: or Lond Aace $250,000 $60,000 10.000 70,000 188,900 Chapter 14-Adjustments and the Work Sheet for a Merchandising Business Date: PROBLEM 1. Use the following information to prepare the cost of goods sold section of the income statement for Beth's Jewels, Beginning merchandise inventory Ending merchandise inventory Purchases Purchases returns and allowances Purchases discounts Freight-in Cost of Goods Sold: Merchandise inventory, January 1 Purchases Less: Purchases returns and allowances Purchases discounts Net purchases Add freight-in Cost of goods purchased Goods available for sale Less: Merchandise inventory, December 31 Cost of goods sold $41,000 34,000 52,000 4,700 1,300 900