TsIzzWe (Ts) is a company that purchases T shirts from the manufacturer, Frootyluums (Frooty) and sells them to college students through the college bookstore, Rskoolstore (RSkool). Ts has hired you to be the accountant for the company.

Ts has decided to use the inventory flow method with its perpetual inventory system. Using the data provided for transactions that occurred during August, determine the Gross Profit at the end of the period.

8/6 Ts purchased 200 long sleeve blue shirts on account from Frooty for $3 each. Terms FOB-SP 2/10, n30 Shipping costs = $40

8/8 Ts purchased 500 short sleeve blue shirts on account from Frooty for $2.50 each. Terms FOB-D 2/15, n30 Shipping costs = $50

8/10 Ts notified Frooty that 50 of the long sleeve shirts were purple. After negotiation, Frooty agreed to reduce the price of those shirts to $2 each. Ts agreed to keep the shirts.

8/11 Ts purchased 400 long sleeve blue shirts on account from Frooty for $3.50 each. Terms FOB-D n/eom Shipping costs = $40

8/12 Ts sold 290 long sleeve blue shirts to RSkool on account for $8 each. Terms FOB-SP 1/10, n30 Shipping costs = $30

8/14 Ts paid for the purchase on the 6^th.

8/16 Ts sold 20 long sleeve purple shirts to RSkool on account for $5 each. Terms FOB-D 2/10, n/eom Shipping costs = $5

8/18 Ts paid for the short sleeve shirts

8/20 Ts sold 380 short sleeve shirts to RSkool on account for $7 each. Terms FOB-SP n/eom Shipping costs = $38

8/21 Ts received payment from RSkool for the long sleeve blue shirts

8/22 RSkool returned 100 of the short sleeve shirts because they were too small.

8/24 Ts sold 200 long sleeve blue shirts to RSkool on account for $8 each. Terms FOB-D 3/5, n/30 Shipping costs = $30

8/29 Ts received payment from RSkool for the purchase on the 24^th

8/30 Ts received payment from RSkool for the purple shirts.

8/31 Ts received payment from RSkool for the purchase on the 20^th

8/31 Ts paid for the purchase on the 11^th.