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Given Gross Sales of $50,000, Sales Returns and Allowances of $6,000

Question 4

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Given gross sales of $50,000, sales returns and allowances of $6,000, beginning inventory of $4,000, net purchases of $8,000, ending inventory of $2,000, and operating expenses of $4,500, calculate net income.

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$50,000 - $6,000 = $44,000; $4...

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