Question 5 of 5 1.98/3 III View Policies Show Attempt History Current Attempt in Progress Monty Corp.completed the following merchandising transactions in the month of May. At the beginning of May, the ledger of Monty showed Cash of $4,500 and Common Stock of $4,500. May 1 2 5 9 10 11 12 15 17 19 24 25 27 29 31 Purchased merchandise on account from Gray's Wholesale Supply $4,200, terms 2/10, 1/30. Sold merchandise on account $2,100, terms 1/10.11/30. The cost of the merchandise sold was $1,300 Received credit from Gray's Wholesale Supply for merchandise returned $350. Received collections in full less discounts, from customers billed on sales of $2.100 on May 2. Paid Gray's Wholesale Supply in full, less discount Purchased supplies for cash $350. Purchased merchandise for cash $1,400. Received refund for poor quality merchandise from supplier on cash purchase $150. Purchased merchandise from Amland Distributors $1.200, FOB shipping point terms 2/10,n/30. Paid freight on May 17 purchase $140. Sold merchandise for cash $3.500. The merchandise sold had a cost of $2.100. Purchased merchandise on account from Horvath, Inc. $650, FOB destination, terms 2/10.n/30. Paid Amland Distributors in full, less discount. Made refunds to cash customers for defective merchandise $70. The returned merchandise had a fair value of $20. Sold merchandise on account $1.000, terms rv30. The cost of the merchandise sold was $600. Monty Corp's chartof accounts includes the following No. 101 Cash No. 112 Accounts Receivable. No. 120 Inventory, No. 126 Supplies. No. 201 Accounts Payable. No 311 Common Stock No. 401 Sales Revenue. No. 412 Sales Returns and Allowances, No. 414 Sales Discounts and No. 505 cost of Goods Sold Prepare an income statement through gross profit for the month of May 2020. Monty Corp. Income Statement (Partial) For the Month Ended May 31, 2020 Retained Earnings. May 1, 2019 re $ $ eTextbook and Media List of Accounts Save for Later Attempts: 0 of 15 used Sub Anime