The Income Statement of Leang's Luggage Includes the Items Listed

Essay

The income statement of Leang's Luggage includes the items listed below: $$\begin{array} { l r } \text { Net sales } & \$ 875,000 \\\text { Gross profit } & 305,000 \\\text { Beginning inventory } & 75,000 \\\text { Purchase discounts } & 12,000 \\\text { Purchase returns and allowances } & 8,000 \\\text { Freight-in } & 10,000 \\\text { Operating expenses } & 320,000 \\\text { Purchases } & 560,000\end{array}$$ Instructions
Use the appropriate items listed above as a basis for determining:
(a) Cost of goods sold.
(b) Cost of goods available for sale.
(c) Ending inventory.