ue. 4. ABC retailers uses the periodic inventory method to count for its inventory transactions. The following account titles and balances were drawn from their records. Beginning balance of inventory $12,450, purchases, $153,200, purchase return and allowances, $4,800, sales, $340,000, sales return and allowances, $3,160, freight-in, $1,080, interest revenue $5,200, loss on sale of furniture $300, and operating expenses, $25,700. A physical count of merchandize indicated that $14,650 of merchandize was on hand at the end of the accounting period. Required: (2+2)=4 a. Prepare a schedule of cost of goods sold. b. Prepare a multistep income statement