The following data are for Mitchell Department Store. The account balances (in thousands) are for 2017 E: (Click the icon to view the account balances.) Requirements 1. Compute (a) the cost of goods purchased and (b) the cost of goods sold. 2. Prepare the income statement for 2017. Requirement 1. Compute (a) the cost of goods purchased and (b) the cost of goods sold. (a) Calculate the cost of goods purchased by completing the schedule. (If a box is not used in the schedule, leave the box empty; do no Data Table Mitchell Department Store Schedule of Cost of Goods Purchased For the Year Ended December 31, 2017 (in thousands) Purchases Add: Transportation-in $ Marketing, distribution, and customer-service costs Merchandise inventory, January 1, 2017 Utilities 34,000 25,000 14,000 48,000 37,000 Deduct: Purchase return and allowances General and administrative costs Merchandise inventory, December 31, 2017 Purchases Miscellaneous costs Transportation-in 150,000 Purchase discounts Cost of goods purchased 4,000 9,000 2,000 Purchase returns and allowances Purchase discounts 5,000 300,000 Revenues