You have been engaged at 12/31/15 to assist a new client. Holly Halloween has not prepared financial statements since 12/31/12. Prior to 12/31/12 she used the accrual method of accounting. During the three years since 12/31/12 she recorded cash receipts, cash disbursements and sales on account directly into the appropriate general ledger accounts. However, she has not closed the books sonce 12/31/12. Your examination had disclosed balances at the beginning and the end of the three year period as follows.

	Dec 31,2012	Dec 31,2015
Aging of Accts. Receivable
Less than one year old	$11,844	$20,445
1 to 2 years	$1,058	$1,269
2 to 3 years old		$564
over 3 years old		$2608
Inventories	$8,742	$13,818
Accts payable-merchandise purchases	$4,230	$8,460
Cash received on account (applied to):	2013	2014	2015
Current year collections	$104,199	$114,069	$146,640
Accounts of the prior year	$9,447	$11,280	$11,844
Accunts of two years prior	$564	$282	$1,410
Cash Sales	$11,985	$18,330	$21,996
Disbursements for purchases	$88,125	$99,546	$122,529

No account balances have been written off as uncollectible during the three-year period. The ratio of gross profit to sales remains constant from year to year.

Instructions:

Prepare a schedule showing sales cost of goods sold, and gross profit for each of teh three years ended December 31st; 2013,2014, and 2015. Support the schedule with computations in good form. (The key to the solution is to first treat all three years as if they are one.)