Problem $12\mathrm{.}3$: Journal Entries for Perpetual Inventory

The following information is taken from the accounting records of Topaz Ltd for year ended $30$ June $2022$:

Inventory $1$ July $2021$: $$30,000$

Purchases $($all credit$)$: $$110,000$

Sales $($all credit$)$: $$180,000$

Inventory $30$ June $2022$: $$18,600$

Operating expenses $($all cash$)$: $$35,000$

The company's mark$-$up is $50$ per cent on cost

Required:

Assuming all purchases and sales were in single transactions, prepare summary journal entries and closing entries using perpetual inventory.

Prepare income statements for the year ended $30$ June $2022$ using the perpetual inventory system.