At the end of Oates Department Stores fiscal year on November 30, 2017, these accounts appeared in its adjusted trial balance.

Freight-In ................................................... $ 5,060

Inventory (beginning) ..................................... 41,300

Purchases ...................................................613,000

Purchase Discounts ........................................ 7,000

Purchase Returns and Allowances ....................... 6,760

Sales Revenue ..............................................902,000

Sales Returns and Allowances ........................... 20,000

Additional facts:

1. Inventory on November 30, 2017, is $36,200.

2. Note that Oates Department Store uses a periodic system.

Instructions

Prepare an income statement through gross profit for the year ended November 30, 2017.