Nelba Manufacturing Co. ships merchandise
Nelba Manufacturing Co. ships merchandise costing $36,000 on consignment to Best Value Stores. Nelba pays $3,750 of freight costs, and Best Value pays $2,250 for local advertising costs that are reimbursable from Nelba. By the end of the period, Best Value has sold two-thirds of the consigned merchandise for $40,000 cash. Best Value notifies Nelba of the sales, retains a 10% commission, and remits the cash due to Nelba.
Question: What are the journal entries that the consignor (Nelba) and the consignee (Best Value) make to record this transaction?
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1.
Calculate the inventory value of the units unsold in the hands of
the
consignee.
2.
Calculate the profit to the consignor for the units sold.
3.
Prepare all journal entries required for the consignment
arrangement on
the books of Illuminators Inc.
4.
Prepare all journal entries required for the consignment
arrangement on
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(Credit account titles are automatically indented when
the amount is...
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the consignor, and Sunland Stores Ltd., the consignee, for the
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system and has a separate perpetual record for inventory sent out
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farm supply dealer in Nebraska, on consignment. By June 30, 2017,
Waterway Depot has sold 60 of the consigned augers at the listed
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Calculate the inventory value of the units unsold in the hands of
the
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2.
Calculate the profit to the consignor for the units sold.
3.
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