Question

Required information Great Adventures Problem AP6-1 The following information applies to the questions displayed below.) Now that operations for outdoor clinics and TEAM events are running smoothly, Suzie thinks of another area for business expansion. She notices that a few clinic participants wear multiuse (MU) watches. Beyond the normal timekeeping features of most watches, MU watches are able to report temperature, altitude, and barometric pressure. MU watches are waterproof, so moisture from Kayaking, rain, fishing, or even diving up to 100 feet won't damage them. Suzie decides to have MU watches available for sale at the start of each clinic. The following transactions relate to purchases and sales of watches during the second half of 2022. All watches are sold for $505 each. Jul. 17 Purchased 55 watches for $8,525 ($155 per watch) on account. Jul. 31 Sold 45 watches for $22,725 cash. Aug. 12 Purchased 45 watches for $7,425 ($165 per watch) cash. Aug. 22 Sold 35 watches for $17,675 on account. Sep. 19 Paid for watches purchased on July 17. Sep 27 Receive cash of $12,000 for watches sold on account on August 22. Oct. 27 Purchased 85 watches for $14,875 ($175 per watch) cash. Nov. 20 Sold 95 watches for $47,975 cash. Dec. 4 Purchased 110 watches for $20,350 ($185 per watch) on account. Dec. 8 Sold 45 watches for $22,725 on account.

Answer 1

Calculate the requirements as follows: ДА B 1 1-a Sales Revenue Cost of Goods Sold Ending Inventory $1,11,100 $ 37,200 $ 15,725 ham toa 1-6 G Inc. Partial Income Statement For the year ended December 31, 2022 $1,11,100 Less: Cost of goods sold $ 37,200 Gross Profit $ 73,900 Sales Calculations: Α 1-a 1 Sales Revenue Cost of Goods Sold Ending Inventory =22725+17675+47975+22725 =(45*155)+(10*155)+(25*165)+(20*165)+(75*175)+(20*175)+(25*185) =85*185 4 G Inc. Partial Income Statement For the year ended December 31, 2022 Sales =C2 Less: Cost of goods sold =C3 Gross Profit =C9-C10