Question
The trial balance of SGT Corporation at December 31, 2019 is as follows: Debit Credit Purchase discounts $15,000 Cash $284,550 Accounts receivable 157,500 Rent revenue
The trial balance of SGT Corporation at December 31, 2019 is as follows: Debit Credit Purchase discounts $15,000 Cash $284,550 Accounts receivable 157,500 Rent revenue 27,000 Retained earnings (at Dec., 2018) 240,000 Salaries and wages payable 27,000 Sales revenue 1,650,000 Notes receivable 165,000 Accounts payable 73,500 Accumulated depreciationequipment 42,000 Sales discounts 21,750 Sales returns and allowances 26,250 Notes payable 105,000 Selling expenses 348,000 Administrative expenses 148,500 Common shares 450,000 Income tax expense 80,850 Dividends 67,500 Allowance for doubtful accounts 7,500 Supplies 21,000 Freight in 30,000 Land 105,000 Equipment 210,000 Bonds payable 150,000 Gain on disposal of land 45,000 Accumulated depreciationbuildings 29,400 Inventory 133,500 Buildings 147,000 Purchases 915,000 Totals $2,861,400 $2,861,400 2 A physical count of inventory on December 31 showed that there was $96,000 of inventory on hand. (1) What is net sales? (2) What is cost of goods sold? (3) Prepare a condensed multi-step income statement. (4) Prepare a statement of retained earnings.
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