Question

Current Attempt in Progress On May 3, 2020, Pharoah Company consigned 100 freezers, costing $510 each, to Remmers Company. The cost of shipping the freezers amounted to $920 and was paid by Pharoah Company. On December 30, 2020, a report was received from the consignee, indicating that 50 freezers had been sold for $740 each. Remittance was made by the consignee for the amount due after deducting a commission of 7%, advertising of $180, and total installation costs of $310 on the freezers sold. (Round answers to o decimal places, e.g. 5,275.) (a) Compute the inventory value of the units unsold in the hands of the consignee. Inventory value S (b) Compute the profit for the consignor for the units sold. Profit on consignment sales $ (c) Compute the amount of cash that will be remitted by the consignee. Remittance from consignee $

Answer 1

Solution (1) Amount of Inventory value of unsold unit in HANDS of : Consignee & Goods sent on consignment Ball 100 freezer croods sold By consignee = 50 freezer Stock 50 freezer Anoont 50 x $5100 $25,500 (B) computation the proper for unit soldo- Saugh: 50 x474o of gобб ters' Commission $31000 TYY. " $2590 less: Advertising wit : $180 less: Installation cost $310 $ 33920 less: Shipping wit paid by consignes $920 less: lout of noods sol 50x8510 25,500 Total profit $7500 O Amount of CASH Remitonle By consignee = Sale & $31000 les! Commission $2590 less: Adv.a anbleu. Lost $490 ( 9180+ $310) CASH Rumil onle $33950