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Campus Stop, Inc., is a student co-op. Campus Stop uses a perpetual inventory system.
The following transactions have been selected for analysis:
a. Sold merchandise for cash (cost of merchandise $160,750) $294,300
b. Received merchandise returned by customers as unsatisfactory (but in perfect condition) for a cash refund (original cost of merchandise $930) 1,730
c. Sold merchandise (costing $13,050) to a customer on account with terms 2/10, n/30 29,000
d. Collected half of the balance owed by the customer in (c) within the discount period 14,210
e. Granted a partial allowance relating to credit sales that the customer in (c) had not yet paid 1,980
Required:
1. Compute Sales Revenue, Net Sales, and Gross Profit for Campus Stop
a merchandiser's multistep income statement.
2. Compute the gross profit percentage.

Sagot :

jepessoa

Answer:

Campus Stop, Inc.

Partial Income Statement

Sales revenue                              $323,300

Sales returns                                    ($1,730)

Sales discounts and allowances  ($2,270)

Net sales                                       $319,300

Cost of goods sold                      ($172,870)

Gross profit                                   $146,430

Gross profit margin = $146,430 / $319,300 = 45.86%

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