Homework Answers
GP = Sales - COGS
Given GP on sales is 35% it means COGS is 65% of sales .
Hence COGS = 65% of 1,350,000
= $877,500
COGS = opn inventory + purchases - cls inventory
877,500 = 600,000+1,150,000 - cls inventory
Cls inventory = 872,500
Answer option (b)
Add Answer to:
On January 1, 2020, the merchandise inventory of Fruit Tree Corp. was $600,000. During 2020, Fruit...
On January 1, 2020, the merchandise inventory of Blossom, Inc. was $1500000. During 2020 Blossom purchased...
On January 1, 2020, the merchandise inventory of Blossom, Inc. was $1500000. During 2020 Blossom purchased $3002000 of merchandise and recorded sales of $3800000. The gross profit rate on these sales was 25%. What is the merchandise inventory of Blossom at December 31, 2020? $2850000. O $1652000. $798000 $950000. O
13. (4 marks) In the early morning of January 1, 2018, Minnesota Corp.'s inventory was destroyed by fire. The follo...
13. (4 marks) In the early morning of January 1, 2018, Minnesota Corp.'s inventory was destroyed by fire. The following information was available for calendar 2017: Sales ......... ............................ $950,000 Net purchases ...................... 600,000 Beginning inventory .............. 110,000 Minnesota's gross profit on sales has averaged 35% for several years. Required: Calculate the estimated cost of the inventory destroyed. Clearly show and label calculations for possible part marks.
On January 2, 2018, Pit Corp. purchased 80% stake in Stop Corp. common stock is $ 448,000 when Stop Corp. reported
On January 2, 2018, Pit Corp. purchased 80% stake in Stop Corp. common stock is $ 448,000 when Stop Corp. reported net assets of $ 480,000. Book value from Stop Corp. assets & liablities at acquisition were equal to fair value, except for land undervalued $ 15,000 and building & equipment-net (useful life 8 years from acquisition date) which were undervalued $ 40,000.Additional data:1. Pit Corp. recorded its investment in Stop Corp. using the equity method.2. Net Income Stop Corp....
A company's inventory was destroyed in a fire on January 28, 2019. The company's December 31,...
A company's inventory was destroyed in a fire on January 28, 2019. The company's December 31, 2018 inventory had a cost of $40,000. The company's gross profit has consistently been 30% of sales. During January the company purchased merchandise costing $36,000 and sales of $50,000 at regular selling prices. What is the estimated cost of the inventory that was destroyed on January 28, 2019? $26,000 $35,000 $41,000
At January 1, 2020, the credit balance of Sarasota Corp.’s Allowance for Doubtful Accounts was $409,000. During 2020, th...
At January 1, 2020, the credit balance of Sarasota Corp.’s Allowance for Doubtful Accounts was $409,000. During 2020, the bad debt expense entry was based on a percentage of net credit sales. Net sales for 2020 were $80 million, of which 89% were on account. Based on the information available at the time, the 2020 bad debt expense was estimated to be 0.80% of net credit sales. During 2020, uncollectible receivables amounting to $505,500 were written off against the allowance...
Exercise 6-20 The inventory of Monty Corp. was destroyed by fire on March 1. From an...
Exercise 6-20 The inventory of Monty Corp. was destroyed by fire on March 1. From an examination of the accounting records, the following data for the first 2 months of the year are obtained: Sales Revenue $52,000, Sales Returns and Allowances $1,500, Purchases $35,500, Freight-In $1,400, and Purchase Returns and Allowances $1,600. Determine the merchandise lost by fire, assuming: A beginning inventory of $21,500 and a gross profit rate of 40% on net sales. Estimated cost of merchandise lost A...
Marigold Corp. had the following information at December 31: Finished goods inventory, January 1 $ 40000...
Marigold Corp. had the following information at December 31: Finished goods inventory, January 1 $ 40000 Finished goods inventory, December 31 90000 If the cost of goods manufactured during the year amounted to $2200000 and annual sales were $2750000, the amount of gross profit for the year is
During 2020 the Tonka Corp. began construction for which it will invoice a total of $...
During 2020 the Tonka Corp. began construction for which it will invoice a total of $ 600,000. The project ended on December 15, 2021. Additional information related to this project is presented below: 2020 2021 Costs incurred in the period $ 225,000 $ 255,000 Estimated costs to complete the project 225,000 -0- Customer billing 240,000 360,000 Cash Received from Clients 200,000 400,000 Assuming Tonka uses the CONTRACT COMPLETED method, what will be the gross profit reported in the 2020 Statement...
The balance in beginning inventory is $75,000. During the year, the company purchased $200,000 of inventory....
The balance in beginning inventory is $75,000. During the year, the company purchased $200,000 of inventory. Sales during the period were $300,000. The gross profit margin is 20% of sales. On December 31, all unsold inventory was destroyed in a warehouse fire. Calculate the dollar value of the inventory lost in the fire. Prepare the journal entry for $20,000 of inventory purchased on credit.
estion 5 2 points Lawn & Order, Inc., began January with $3,200 of merchandise inventory. During...
estion 5 2 points Lawn & Order, Inc., began January with $3,200 of merchandise inventory. During January, Lawn & Order made the following entries for its inventory transactions: Inventory 6,400 Accounts Payable 6,400 Accounts Receivable Cost of Goods Sold 7,400 5,400 Sales Revenue 7,400 Inventory 5,400 What is Lawn & Order's gross profit for January? 00 $7.400 $2,000 $5,400
On January 1, 2020, the merchandise inventory of Blossom, Inc. was $1500000. During 2020 Blossom purchased $3002000 of merchandise and recorded sales of $3800000. The gross profit rate on these sales was 25%. What is the merchandise inventory of Blossom at December 31, 2020? $2850000. O $1652000. $798000 $950000. O
13. (4 marks) In the early morning of January 1, 2018, Minnesota Corp.'s inventory was destroyed by fire. The following information was available for calendar 2017: Sales ......... ............................ $950,000 Net purchases ...................... 600,000 Beginning inventory .............. 110,000 Minnesota's gross profit on sales has averaged 35% for several years. Required: Calculate the estimated cost of the inventory destroyed. Clearly show and label calculations for possible part marks.
Exercise 6-20 The inventory of Monty Corp. was destroyed by fire on March 1. From an examination of the accounting records, the following data for the first 2 months of the year are obtained: Sales Revenue $52,000, Sales Returns and Allowances $1,500, Purchases $35,500, Freight-In $1,400, and Purchase Returns and Allowances $1,600. Determine the merchandise lost by fire, assuming: A beginning inventory of $21,500 and a gross profit rate of 40% on net sales. Estimated cost of merchandise lost A...
estion 5 2 points Lawn & Order, Inc., began January with $3,200 of merchandise inventory. During January, Lawn & Order made the following entries for its inventory transactions: Inventory 6,400 Accounts Payable 6,400 Accounts Receivable Cost of Goods Sold 7,400 5,400 Sales Revenue 7,400 Inventory 5,400 What is Lawn & Order's gross profit for January? 00 $7.400 $2,000 $5,400
Most questions answered within 3 hours.
-
Write a C++ program that will convert distance measurements from
miles to kilometers. Specifically, the program...
asked 1 minute ago -
Given the following stresses (in MP a); in each case:
(a) Find the principal stresses σ1;...
asked 5 minutes ago -
You are one of the first engineers hired into the
manufacturing engineering department at a brand...
asked 10 minutes ago -
Suppose car models A, B, and C are popular among drivers.
Suppose 12% of the drivers...
asked 28 minutes ago -
write a program that finds the number of zeros in an 8-bit data
item using assembly...
asked 28 minutes ago -
Which statement is always true: The total energy of a closed
system...
A) is always equally...
asked 42 minutes ago -
find the critical value associated with a right sided hypothesis of
the mean using a sample...
asked 2 hours ago -
Which of the following statements is true with respect to a
simple linear regression model?
a....
asked 3 hours ago -
The energy required to remove an electron from a surface of a
solid element is called...
asked 4 hours ago -
How would you train your employees to avoid risks of using
mobile devices?
asked 5 hours ago -
Assume Kw = 1.01 ✕ 10−14
For pure water, we can calculate [H3O+ ] = [OH...
asked 6 hours ago -
Suppose that on a temperature scale X, water boils at 203.0°X
and freezes at -105.7°X. What...
asked 6 hours ago