Question 3 of 6 0.75 / 1 Show Attempt History Current Attempt in Progress Sandhill Hardware Store completed the following merchandising transactions in the month of May. At the beginning of May. Sandhills' ledger showed Cash of $9,100 and Common Stock of $9,100. May 1 2 5 9 10 11 12 15 Purchased merchandise on account from Black Wholesale Supply for $9,100, terms 1/10, 1/30. Sold merchandise on account for $5,500, terms 2/10, 1/30. The cost of the merchandise sold was $4,400. Received credit from Black Wholesale Supply for merchandise returned $200. Received collections in full, less discounts, from customers billed on May 2. Paid Black Wholesale Supply in full, less discount. Purchased supplies for cash $900. Purchased merchandise for cash $4,100. Received $230 refund for return of poor-quality merchandise from supplier on cash purchase. Purchased merchandise from Wilhelm Distributors for $3,500, terms 2/10, n/30. Paid freight on May 17 purchase $250. Sold merchandise for cash $5,500. The cost of the merchandise sold was $4,100 Purchased merchandise from Clasps Inc. for $800, terms 3/10,n/30. Paid Wilhelm Distributors in fullless discount. Made refunds to cash customers for returned merchandise $118. The returned merchandise had cost $98. Sold merchandise on account for $1,280, terms n/30. The cost of the merchandise sold was $794. 17 19 24 25 27 29 31 HeyPLUS Assignments Question 3 of 6 0.75 / 1 Prepare an income statement through gross profit for the month of May 2022. (Round answers to 0 decimal places, e.g. 5,275.) SANDHILL HARDWARE STORE Income Statement (Partial) For the Month Ended May 31, 2022 Sales Sales Revenue 12280 Less : Sales Returns and Allowances 118 i Sales Discounts 110 228 i Net Sales 12052 Cost of Goods Sold 9196 i Gross Profit $ 2856 e Textbook and Media Listof Account Question 3 of 6 0.75/1 e Textbook and Media List of Accounts X Your answer is incorrect. Calculate the profit margin and the gross profit rate (Assume operating expenses were $1,331.) (Round answers to 1 decimal place, e.g. 15.5%.) Profit margin 12.42 96 Gross profit rate 23.26 % e Textbook and Media Assistance Used List of Accounts Save for Later Attempts: unlimited Submit