The Following Information Is Available for the Tenor Music Store

Essay

The following information is available for the Tenor Music Store for the fiscal year ended December 31.
$\begin{array}{llr} \text {Ending inventory } &\$100,100\\ \text { Transportation-in costs } &\$8,900\\ \text { Purchase discounts } &\$15,000\\ \text { Beginning inventory } &\$79,000\\ \text { Merchandise cost } &\$450,000\\ \text { Purchase returns and allowances} &\$6,200\\ \text { Sales revenue} &\$800,000\\ \text { Sales discounts } &\$12,500\\\end{array}$

Required:
(a) Prepare a cost of goods sold statement for Tenor Music Store.
(b) Compute the gross margin for the fiscal year ended December 31.