QS 5 3 Merchandise accounts and computations c2 Use the following information (in random order) from a merchandising company and from a service company. Hint: Not all information may be necessary for the solutions. a. For the merchandiser only, compute (1) goods available for sale, (2) cost of goods sold, and (3) gross profit. b. Compute net income for each company Kleiner Merchandising Company Krug Service Company Accumulated depreciation Beginning inventory Ending inventory $ 700 5,000 1.700 Expenses Net purchases Net sales $1,450 3,900 9.500 Expenses $ 12,500 Revenues 14,000 Cash 700 Prepaid rent Accounts payable Equipment $ 800 200 1,300