Light Company provided the following information:

June July August

Sales on Account 7,200 7,360 7,600
Cash Sales 720 800 1,040

All merchandise is marked up to sell at invoice cost plus 20%. Inventory at the beginning of each month
is 30% of that month’s cost of goods sold.

What is the amount of purchases for July?

Answer: 6,920

Imp Company made the following expenditures:

Continuing and frequent repairs 4,987

Repainted the plant building 1,067
Major improvement for electrical wiring system 3,235
Partial replacement of roof tiles 1,426

What amount should be charged to repair and maintenance expense?

Answer: 7480

The partnership has the following accounting amounts:

Sales 7,000
COGS 4,000
Operating expenses 1,000
Salary allocations to partners 1,300
Interest paid to banks 200
Partner’s withdrawal 800

The partnership’s income (loss) is__________.

Answer: 1,800