The following information was drawn from the 2016 accounting records of Ozark Merchandisers 1. Inventory...
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The following information was drawn from the 2016 accounting records of Ozark Merchandisers 1. Inventory that had cost $16,200 was sold for $25,920 under terms 2/20, net/30 2. Customers returned merchandise to Ozark five days after the purchase. The merchandise had been sold for a price of $624. The merchandise had cost Ozark $480 3. All customers paid their accounts within the discount period 4. Selling and administrative expenses amounted to $2,592 5. Interest expense paid amounted to $220 6. Land that had cost $6,200 was sold for $7,750 cash. Required a. Determine the amount of net sales (Round your intermediate calculations and final answer to the nearest whole dollar amount.) Net sales b. Prepare a multistep income statement. (Amounts to be deducted and losses should be indicated with a minus sign.) OZARK MERCHANDISERS Income Statement For the year ended December 31, 2016 Operating expenses Non-operating items c. Where would the interest expense be shown on the statement of cash flows? O Operating activities O Investing activities O Financing activities
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