Fill in the blanks numbered 1 through 6. (Hint: It probably is easiest to work through the blanks…
Income Statement Calculations – The Ferdon Company uses a periodic inventory system. The following is partial information from its income statements for 2007 and 2008:
2007
2008
Beginning inventory
($2)
($4)
Sales
220,000
6
Purchases
118,000
140,000
Purchases returns
2,000
3,000
Ending inventory
48,000
74,000
Sales returns
1,000
3,000
Gross profit
1
77,000
Cost of goods sold
106,000
5
Expenses
65,000
62,000
Net income
3
15,000
Required
Fill in the blanks numbered 1 through 6. (Hint: It probably is easiest to work through the blanks according to the sequential numbers.)
