Cost of goods sold in a periodic system Delta Electric, Co., uses the periodic inventory system. Delta reported the following selected amounts at May 31, 2012:
|
Inventory, May 31, 2011
|
$ 16,000
|
Freight in
|
$ 4,000
|
|
Inventory, May 31, 2012
|
23,000
|
Sales revenue
|
174,000
|
|
Purchases (of inventory)
|
84,000
|
Sales discounts
|
6,000
|
|
Purchase discounts
|
3,000
|
Sales returns
|
17,000
|
|
Purchase returns
|
9,000
|
Stockholders' equity
|
47,000
|
Requirement
1. Compute Delta's
a. Net sales revenue.
b. Cost of goods sold.
c. Gross profit.