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Question 6

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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