Assume Anderson’s General Store bought, on credit, a truckload of merchandise from American Wholesaling costing $23,900....
Assume Anderson’s General Store bought, on credit, a truckload of merchandise from American Wholesaling costing $23,900. If Anderson’s paid National Trucking $740 cash for transportation, immediately returned goods to American Wholesaling costing $1,200, and then paid American Wholesaling within the 2/30, n/60 purchase discount period.
How much did this inventory cost Anderson’s? Assume Anderson’s uses a perpetual inventory system.
Inventory Cost $
Homework Answers
Answer) $22986
Explanations:
Cost of Inventory = Cost of goods purchased + Transportation cost - Cost of goods returned - Discount received for prompt payment
= 23900 + 740 - 1200 - 454
= 22986
*Discount received = (23900 - 1200) x 2% = 454
*Since the company uses perpetual inventory system, transportation cost is added to inventory and discount received is deducted from inventory.
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Assume Anderson’s General Store bought, on credit, a truckload
of merchandise from American Wholesaling costing $23,900....
Assume Anderson’s General Store bought, on credit, a truckload of merchandise from American Wholesaling costing $23,600....
Assume Anderson’s General Store bought, on credit, a truckload of merchandise from American Wholesaling costing $23,600. If the company was charged $710 in transportation cost by National Trucking, immediately returned goods to American Wholesaling costing $1,200, and then took advantage of American Wholesaling’s 2/10, n/30 purchase discount. How much did this inventory cost Anderson’s?
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