Question 2: Cost flows, income statement You own a store. Beginning inventory on January 1 was $4,000. Ending inventory on December 31 was $2,500. You purchased $27,000 of new merchandise during the year Sales revenue for the year was $51,000. Selling, general, and administrative (SGBA) costs for the year were $4,000. a) Compute the cost of goods sold (COGS) for the year. b) Prepare the income statement for the year. Revenue COGS Gross Margin SG&A costs Profit