Now that operations for outdoor clinics and TEAM events are running smoothly, Suzie thinks of another area for business expansion. She notices that a few clinic participants wear multiuse (MU) watches. Beyond the normal timekeeping features of most watches, MU watches are able to report temperature, altitude, and barometric pressure. MU watches are waterproof, so moisture from kayaking, rain, fishing, or even diving up to 100 feet wont damage them. Suzie decides to have MU watches available for sale at the start of each clinic. The following transactions relate to purchases and sales of watches during the second half of 2022. All watches are sold for $490 each.

Jul.		17		Purchased 40 watches for $5,600 ($140 per watch) on account.
Jul.		31		Sold 30 watches for $14,700 cash.
Aug.		12		Purchased 30 watches for $4,500 ($150 per watch) cash.
Aug.		22		Sold 20 watches for $9,800 on account.
Sep.		19		Paid for watches purchased on July 17.
Sep.		27		Receive cash of $21,000 for watches sold on account on August 22.
Oct.		27		Purchased 70 watches for $11,200 ($160 per watch) cash.
Nov.		20		Sold 80 watches for $39,200 cash.
Dec.		4		Purchased 100 watches for $17,000 ($170 per watch) on account.
Dec.		8		Sold 30 watches for $14,700 on account.

Required: 1-a. Calculate sales revenue, cost of goods sold, and ending inventory as of December 31, 2022, assuming Suzie uses FIFO to account for inventory. 1-b. Prepare the gross profit section of a partial income statement for transactions related to MU watches