VINCE GILL COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2014 $6,842,460 Sales revenue Cost of goods sold $1,893,120 Beginning inventory Purchases 4,460,600 6,353,720 Goods available for sale 1,602,890 Ending inventory 4,750,830 Cost of goods sold 2,091,630 Gross profit Operating expenses 453,040 Selling expenses 703,690 1,156,730 Administrative expenses $934,900 Net income Additional information: 1. Accounts receivable decreased $314,170 during the year. 2. Prepaid expenses increased $179,850 during the year. 3. Accounts payable to suppliers of merchandise decreased $282,140 during the year. 4. Accrued expenses payable decreased $129,900 during the year. 5. Administrative expenses include depreciation expense of $67,440