Les Fleurs, a boutique in Paris, France, had the following accounts in its accounting records at December 31, 20X2 (amounts in Euros, denoted as "E")


Purchases………………...
E250,000 Freight In……………… E8,000
Sales discounts…………. 4,000 Purchase returns…….. 7,000
Inventory Sales…………………. 400,000
December 31, 20X1….. 20,000 Purchase discounts…. 3,000
December 31, 20X2….. 30,000 Sales returns…………. 8,000

Compute the following for Les Fleurs during 20X2: (Do not convert the figures to US dollars.)

Net sales revenue
Cost of goods sold
Gross profit

NET SALES REVENUE

Inventory Sales…………………. 400,000
Less: Sales returns…………. 8,000
Less: Sales discounts…………. 4,000

Net Sales Revenue = 388,000

Cost of goods sold
Purchases………………... E250,000
Add: Freight In……………… E8,000
Less: Purchase returns…….. 7,000
Less: Purchase discounts…. 3,000

Cost of good sold = 248,000

Gross Profit
Net Sales Revenue = 388,000
Less: Cost of good sold = 248,000

Gross Profit = 140,000

Thanks because we had a lousy teacher.