On May 2, Lace Corp., an appliance wholesaler, offered to sell appliances worth $3,000 to Parco, Inc., a household appliances retailer. The offer was signed by Lace’s president, and provided that it would not be withdrawn before June 1. It also included the shipping terms: “FOB-Parco’s warehouse.” On May 29, Parco mailed an acceptance of Lace’s offer. Lace received the...
On December 31 of the current year, Plunkett Company reported an ending inventory balance of $211,500. The following additional information is also available: Plunkett sold and shipped goods costing $37,300 to Savannah Enterprises on December 28 with shipping terms of FOB shipping point. The goods were not included in the ending inventory amount of $211,500. Plunkett purchased goods costing $43,300...
On December 31 of the current year, Plunkett Company reported an ending inventory balance of $214,000. The following additional information is also available: • Plunkett sold and shipped goods costing $37,800 to Savannah Enterprises on December 28 with shipping terms of FOB shipping point. The goods were not included in the ending Inventory amount of $214,000. • Plunkett purchased goods...
E7-1 LO7-1 Analyzing Items to Be Included in Inventory Based on its physical count of inventory in its warehouse at yearend, December 31 of the current year, Plummer Company planned to report inventory of $34,000. During the audit, the independent CPA devel oped the following additional information: a. Goods from a supplier costing $700 are in transit with UPS on...
Farley Bains, an auditor with Nolls CPAs, is performing a review of Teal Mountain Ine's Inventory account. Teal Mountain did not have a good year, and top management is under pressure to boost reported income. According to its records, the inventory balance at year-end was $808,200. However, the following information was not considered when determining that amount. Prepare a schedule...
Current Attempt in Progress Matthew Young, an auditor with Knapp CPAS, is performing a review of Sheffield Company's inventory account. Sheffield did not have a good year, and top management is under pressure to boost reported income. According to its records, the inventory balance at year-end was $644,000. However, the following information was not considered when determining that amount. 1....
Marigold Corp.'s accounts payable balance at December 31, 2017 was $1596000 before considering the following transactions: • Goods were in transit from a vendor to Marigold on December 31, 2017. The invoice price was $70000, and the goods were shipped f.o.b. shipping point on December 29, 2017. The goods were received on January 4, 2018. • Goods shipped to Marigold,...
1. Windsor Bank and Trust is considering giving Pohl Company a loan. Before doing so, it decides that further discussions with Pohl’s accountant may be desirable. One area of particular concern is the Inventory account, which has a year-end balance of $335,500. Discussions with the accountant reveal the following. 1. Pohl shipped goods costing $67,100 to Hemlock Company FOB shipping...
ALLONIN 9th.pdf (page 479 of 1,409) 585 Purchases (gross) Purchase discounts Purchase returns Freight-in 18 Required: Determine the missing numbers. Show computations where appropriate. ansit The Kwok Company's inventory balance on December 31, 2018, was $165,000 (based on a 12/31/2018 physical count) before considering the following transactions: 1. Goods shipped to Kwok f.o.b. destination on December 20, 2018, were received...
PROBLEM C. The unadjusted trial balance of Inner Shaker Co. (with trade name: Makapangalgal Laman) on December 31, 2019 showed the following balances: ACCOUNT DEBIT CREDIT Inventory, January 1 P 500,000 Purchases 5,500,000 Sales P7,000,000 Operating Expenses 1,200,000 Inner Shaker uses the periodic inventory system in accounting for its inventory. A physical count of inventory taken in the company premises...