ANSWERS TO QUESTIONS
Inventory, September 1, 2006 $ 17,500 Purchases $149,400 Less: Purchase returns and allowances 2,000 Net purchases 147,400 Add: Freight-in 4,000 Cost of goods purchased 151,400 Cost of goods available for sale 168,900 Inventory, August 31, 2007 25,000 Cost of goods sold $143,900 ................
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