QS 4-3 Merchandise accounts and computations LO C2 Kleiner Merchandising Company Accumulated depreciation Beginning inventory Ending Inventory Expenses Net Purchases Net Sales $700 5,500 1,900 1,500 4,700 10,500 Krug Service Company Expenses Revenues Cash Prepaid rent Accounts payable Equipment $ 7,500 15,000 500 600 200 1,300 Required: a. Compute 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 b. Net income for Krug Service Company Net income for Kleiner Merchandising Company