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Problem 6-3B Record transactions and prepare a partial income statement using a perpetual inventory system (LO6-2, 6-5)

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At the beginning of June, Circuit Country has a balance in inventory of $2,700. The following transactions occur during the month of June.

June		2		Purchase radios on account from Radio World for $2,400, terms 1/15, n/45.
June		4		Pay cash for freight charges related to the June 2 purchase from Radio World, $340.
June		8		Return defective radios to Radio World and receive credit, $200.
June		10		Pay Radio World in full.
June		11		Sell radios to customers on account, $4,400, that had a cost of $2,900.
June		18		Receive payment on account from customers, $3,400.
June		20		Purchase radios on account from Sound Unlimited for $3,500, terms 3/10, n/30.
June		23		Sell radios to customers for cash, $5,000, that had a cost of $3,300.
June		26		Return damaged radios to Sound Unlimited and receive credit of $500.
June		28		Pay Sound Unlimited in full.

Problem 6-3B Part 2

2. Prepare the top section of the multiple-step income statement through gross profit for the month of June.