Create appropriate notes as year-to-year documentation for managing depreciation, supplies, and inventory

Inventory: Periodic, LIFO for both baking and merchandise

Baking supplies: $27,850 ending inventory

Equipment: Straight line method used for equipment

2018 Balance Sheet:

Baking supplies $28,222.48

Merchandise Inventory $229.27

2017 Balance Sheet Baking Supplies	15,506.70
Merchandise Inventory	1,238.07

2018 Income Statement:

Bakery Sales		$ 261,858.04
Merchandise Sales		964.51
Total Revenues			262,822.55
Cost of Goods Sold - Baked		84,667.43
Cost of Goods Sold - Merchandise		687.82
Total Cost of Goods Sold			85,355.25
Gross Profit			177,467.30

2017 Income Statement

Bakery Sales		$ 327,322.55
Merchandise Sales		1,205.64
Total Revenues			328,528.19
Cost of Goods Sold - Baked		105,834.29
Cost of Goods Sold - Merchandise		859.77
Total Cost of Goods Sold			106,694.06
Gross Profit			221,834.13