Fill in the Blanks (A) Through (G) for the Morrison

Essay

Fill in the blanks (a) through (g) for the Morrison Company for each of the income statements for years 1, 2, and 3.
$\begin{array}{c} \text {Morrison Company}\\ \text {Income Statements}\\ \text {For the years ended December 31}\\ \begin{array}{|l|l|l|l|}\hline & \text { Year 2 } & \text { Year 2 } & \text { Year 3 } \\\hline \text { Sales } & \$ 7,500 & \$ 10,000 & \text { (f) } \\\hline \text { Cost of goods sold } & & & \\\hline \text { Merchandise inventory (beginning) } & \text { (a) } & 375 & 750 \\\hline \text { Total cost of merchandise purchases } & 2,400 & 3,625 & 4,875 \\\hline \text { Merchandise inventory (ending) } & \text { (b) } & 750 & 625 \\\hline \text { Cost of goods sold } & \underline{2,770} & \text { (d) } & \underline{5,000} \\\hline\end{array}\end{array}$

$\begin{array}{|l|l|l|l|}\hline \text { Gross profit } & \text { (c) } & 6,750 & 5,200 \\\hline \text { Operating expenses } & 3,750 & 3,750 & (\mathrm{~g}) \\\hline \text { Net income } & \$ 980 & (\mathrm{e}) & \underline{\$ 2,500} \\\hline\end{array}$