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question 6

In 2011 ClydeClydeRenkasRenkasopened Clydes Pets a small retail shop selling pet supplies.On December 31,2011,, Clyde’saccounting records showed the following

Inventory on December 31, 2011

$10,200

Inventory on January 1, 2011

15,300

Sales revenue

55,000

Utilities for shop

3,400

Rent for shop

4,800

Sales commissions

2,650

Purchases of merchandise

22,000

:

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Requirement 1. Prepare an income statement for

Clyde’s PetsClyde’s Pets,

a merchandiser, for the year ended December 31, 2011.

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Clyde’s Pets

Income Statement

Year Ended December 31, 2011

Cost of goods sold:

Cost of goods sold

Gross profit

Operating expenses:

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