E6-5 (Algo) Inferring Missing Amounts Based on Income Statement Relationships [LO 6-2, LO 6-6] Supply the missing dollar amounts for each of the following independent cases: E6-7 (Algo) Reporting Purchases and Purchase Discounts Using a Perpetual Inventory System [LO 6-3] During the months of January and February. Axe Corporation purchased goods from three suppliers. The sequence of events was as follows: January 6 Purchased goods for $1,10e from Green with terms 2/15,0/60. January 6 Purchased goods from Munoz for $1, eee with terms 2/15,n/66. January 14 Paid Green in full. February 2 paid Munoz in full. February 28 Purchased goods for $990 from Reynolds with terms n/6e. Required: Assume that Axe uses a perpetual inventory system, the company had no inventory on hand at the beginning of January, and no sales were made during January and February. Calculate the cost of inventory as of February 28 E6-10 (Algo) Reporting Net Sales after Sales Discounts [LO 6-4] During the months of January and February, Solitare Corporation sold goods to two customers. The sequence of events was as follows: January 6 Sold goods for $260 to Wizard Incorporated with terms 2/30,n/60. The gpods cost Solitare s78. January 6 sold goods to spyder Corporation for $164 with terms 2/10,n/30. The goods cost solltare $68. January 14 collected cash for the amount due from Wizard Incorporated. February 28 collected cash for the anount due from Spyder Corporation. Required: Compute the Net Sales Solitare would report over the two months. (Do not round intermediate calculations. Round your answer to 2 decimal places.) M6-13 (Algo) Preparing a Multistep Income Statement [LO 6-6] Sellall Department Stores reported the following amounts as of its December 31 year-end: Administrative Expenses, $3,100, Cost of Goods Sold, \$26,460; income Tax Expense, \$3,420; Interest Expense, \$1,700; Interest Revenue, \$220; General Expenses, \$3,300; Net Sales, $44,345; and Delivery (freight-out) Expense, $370. Prepare a multistep income statement for distribution to external financial statement users. E6-13 (Algo) Determining the Effects of Credit Sales, Sales Discounts, and Sales Returns and Allowances on the Income Statement [LO 6-4, LO 6-6] Complete the following table, indicating the amount and direction of effect of each transaction on each item in Rockland Shoe Company's income statement. Be sure to compute the total effects in the final column. Rockland allows returns within only two weeks of the initial sale. (Enter any decreases to account balances with a minus sign.) July 12 Rockland sold merchandise to Kristina Zee at its factory store. Kristina paid for the $355 purchase in cash. The goods cost Rockland $265. July 15 sold merchandise to Shoe Express at a selling price of 58,500 , with terms n/30. Rockland's cost was 54,500 . July 23 shoe Express returned $2,100 of the shoes purchased July 15 . The returned shoes were in perfect condition and had cost Rockl and $1,159. July 31 Shoe Express paid the balance owing after the events on July 15 and 23. E6-14 (Algo) Analyzing and Recording Sales and Gross Profit with Sales Returns [LO 6.4, LO 6.6] Cycle Wholesaling sold merchandise on account, with terms n/60, to Sarah's Cycles on February 1 for $500 (cost of goods sold of $340 ) On February 9, Sarah's Cycles returned to Cycle Wholesaling one-quarter of the merchandise from February 1 (cost of goods returned was \$85). Cycle Wholesaling uses a perpetual inventory system, and it allows returns only within 15 days of initial sale. Required: 1. to 3. Prepare the journal entries to record the sale on February 1, goods returned on February 9, and cash collected on March 2 4. Calculate the gross profit percentage for the sale to Sarah's Cycies