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MENDELSTEIN COMPANY Income Statement For Year Ended October 31, 2014 Revenues: Total revenues Expenses: Total expenses

		Debit		Credit
Merchandise inventory	$	1,100
Other assets		34,000
Liabilities			$	30,340
Joe Mendelstein, capital				37,105
Joe Mendelstein, withdrawals		2,400
Interest revenue				120
Sales				90,400
Sales returns and allowances		6,900
Sales discounts		1,065
Purchases		42,900
Purchase returns and allowances				1,850
Purchase discounts				840
Transportation-in		4,750
Sales salaries expense		17,200
Rent expense, selling space		8,600
Store supplies expense		2,600
Advertising expense		8,400
Office salaries expense		21,400
Rent expense, office space		7,000
Office supplies expense		2,340
Totals	$	160,655	$	160,655

A physical count shows that the cost of the ending inventory is $12,000.

Required

1.	Calculate the companys net sales for the year.

2.	Calculate the companys cost of goods purchased for the year.

3.	Calculate the companys cost of goods sold for the year.

4.	Present a multiple-step income statement that lists the companys net sales, cost of goods sold, and gross profit from sales.

5.	Present a condensed single-step income statement that lists these expenses: cost of goods sold, selling expenses, and general and administrative expenses.

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