Create schedule to compute company-s cost of goods sold

Question

Raynolde Company uses a periodic inventory system. At the end of 2007, the following information is available:

Purchases returns and allowances ..................$ 1,400
Inventory, 12/31/2007 ................................ 11,900
Purchases ............................................... 21,200
Inventory, 1/1/2007 ................................... 10,800
Purchases discounts ................................... 600

Required

Prepare a schedule to compute Raynolde Company's cost of goods sold for 2007.