VINCE GILL COMPANY INCOME STATEMENT FOR THE YEAR ENDED DECEMBER 31, 2017 $6,900,000 Sales revenue Cost of goods sold $1,900,000 4,400,000 6,300,000 1,600,000 Beginning inventory Purchases Goods available for sale Ending inventory Cost of goods sold 4,700,000 2,200,000 Gross profit Operating expenses Selling expenses Administrative expenses 450,000 700,000 1,150,000 $1,050,000 Net income dditional information: 1. Accounts receivable decreased $360,000 during the year. 2. Prepaid expenses increased $170,000 during the year 3. Accounts payable to suppliers of merchandise decreased $275,000 during the year 4. Accrued expenses payable decreased $100,000 during the year 5. Administrative expenses include depreciation expense of $60,000