The following accounts and their current balances appear in the ledger of Cerelat Co$.$ at the end of its fiscal year, June $30.$ Cerelat uses a periodic inventory system.

$$

Cash

$$450,000$

Sales

$$1,600,000$

Accounts Receivable

$650,000$

Purchases

$850,000$

Inventory

$850,000$

Purchases Returns and Allowances

$7,000$

Estimated Returns Inventory

$15,000$

Purchases Discounts

$3,500$

Office Supplies

$8,000$

Freight In

$16,000$

Prepaid Insurance

$8,500$

Sales Salaries Expense

$210,000$

Office Equipment

$900,000$

Advertising Expense

$100,000$

Accum. Depr.$$Office Equip.

$600,000$

Depreciation Expense$$Store Equip.

$48,000$

Store Equipment

$600,000$

Delivery Expense

$22,000$

Accum. Depr.$$Store Equip.

$280,000$

Office Salaries Expense

$130,000$

Accounts Payable

$86,000$

Rent Expense

$60,000$

Salaries Payable

$45,000$

Depreciation Expense$$Office Equip.

$40,000$

Customer Refunds Payable

$4,000$

Insurance Expense

$11,000$

Notes Payable $($long$-$term$)$

$100,000$

Office Supplies Expense

$9,000$

Owner$$s Capital

$600,000$

Miscellaneous Administrative Exp.

$12,000$

Owner$$s Drawing

$25,000$

Interest Expense

$15,000$

$$

$$

$$

A physical inventory at the end of June indicates that $$882,000$ of merchandise is on hand. Estimated Returns Inventory is expected to increase to $$16,500.$ Prepare a multiple$-$step income statement for Cerelat Co$.$ showing how cost of goods sold was determined for the year ended June $30.$

The following accounts and their current balances appear in the ledger of Cerelat Co$.$ at the end of its fiscal year, June $30.$ Cerelat uses a periodic inventory system.

$$

Cash

$$450,000$

Sales

$$1,600,000$

Accounts Receivable

$650,000$

Purchases

$850,000$

Inventory

$850,000$

Purchases Returns and Allowances

$7,000$

Estimated Returns Inventory

$15,000$

Purchases Discounts

$3,500$

Office Supplies

$8,000$

Freight In

$16,000$

Prepaid Insurance

$8,500$

Sales Salaries Expense

$210,000$

Office Equipment

$900,000$

Advertising Expense

$100,000$

Accum. Depr.$$Office Equip.

$600,000$

Depreciation Expense$$Store Equip.

$48,000$

Store Equipment

$600,000$

Delivery Expense

$22,000$

Accum. Depr.$$Store Equip.

$280,000$

Office Salaries Expense

$130,000$

Accounts Payable

$86,000$

Rent Expense

$60,000$

Salaries Payable

$45,000$

Depreciation Expense$$Office Equip.

$40,000$

Customer Refunds Payable

$4,000$

Insurance Expense

$11,000$

Notes Payable $($long$-$term$)$

$100,000$

Office Supplies Expense

$9,000$

Owner$$s Capital

$600,000$

Miscellaneous Administrative Exp.

$12,000$

Owner$$s Drawing

$25,000$

Interest Expense

$15,000$

$$

$$

$$

A physical inventory at the end of June indicates that $$882,000$ of merchandise is on hand. Estimated Returns Inventory is expected to increase to $$16,500.$ Prepare a multiple$-$step income statement for Cerelat Co$.$ showing how cost of goods sold was determined for the year ended June $30.$