PREPARE THE COST OF GOODS SOLD SECTION FOR THE FOLLOWING PARTIAL INCOME.

Notes: Sales are not taken into consideration to work the cost of goods sold.

MERCHANDISE INVENTORY, JAN 31 $50,000 PURCHASES 25,000 SALES 85,000 PURCHASES RETURNS AND ALLOWANCES 5,000 MERCHANDISE INVENTORY JAN 1 65,500 PURCHASES DISCOUNTS 1,500 FREIGHT IN 750