If a company sells goods that cost $80,000 for $92.000, the firm will: A. reduce Finished-Goods Inventory by $80,000. B. reduce Finished-Goods Inventory by $92.000. C report sales revenue on the balance sheet of $92.000. . D. reduce Cost of Goods Sold by $80,000. E. follow more than one of the other procedures.
Q: The commercial (sales) of both firms is as follows: Company A Company B Sales 4,000,000 4,000,000…
A: The question is related to ratio analysis and the comparison between two companies is made on the…
Q: A firm had beginning finished goods inventory of 20,000; its cost of goods manufactured was 75,000;…
A: Cost of goods sold = sales - gross margin = 140000 - 80000 = 60,000
Q: A company has 19 days of finished goods inventory on hand to avoid stockouts. The carrying costs of…
A: The value added costs are the additional costs incurred to increase the value of the product to the…
Q: Assume that a company provided an income statement as follows: Sales $ 524,000 Cost of goods…
A: Cost of goods sold- The total direct cost incurred in preparing the goods is referred to as the cost…
Q: A company has several branch operations that sell merchandise transferred from the home office. This…
A: The question is related to Branch Accounting. The details are given regarding the same. Unrealised…
Q: Todrick Company is a merchandiser that reported the following information based on 1,000 units sold:…
A: Given the information, contribution margin can be made with the help of some calculations as shown…
Q: 2. If a company sells goods that cost P70,000 for P82,000, the firm will: a. reduce Finished-Goods…
A: Since you have asked multiple question, we will solve the first question for you. If you want any…
Q: A company sells goods for $150,000 that cost $54,000 to manufacture. Which of the following…
A: Cost accounting is the branch of accounting that inspects the cost structure of a business. This…
Q: Darby Company, operating at full capacity, sold 76,950 units at a price of $48 per unit during the…
A: Compute the maximum income from operations possible with the expanded plant. No. of Sales (in…
Q: For the first three months of the year 2009, Lualhati Company reported total sales of P1,400,000 and…
A: The cost of goods manufactured can be calculated from the cost of goods sold function
Q: Folsom River products is contemplating the use of economic order quantity analysis to optimize…
A: Economic order quantity is the ideal quantity to be ordered which gives the lowest cost of ordering…
Q: Can you please help me find the answers to the question marks below:Todrick Company is a…
A: The first step is to find out the cost of goods sold which is the variable cost of the product.The…
Q: The details of a Retail Merchandise business are: Sales revenues are RO 80,000 cost of goods sold is…
A: Net Profit = Total revenue - Total expenses
Q: Presented below are the components in Jane Company's income statement. Determine the missing…
A: Cost of goods sold means the cost incurred on the goods which has been sold including all direct…
Q: Cuban Carafes sold products to customers for $18,000. The products originally cost $10,000. The…
A: The journal entry for the omitted transaction is as below. You may kindly note that: All amounts…
Q: If Sales revenue is SR 26,000, beginning finished goods inventory is SR 8,000, ending finished goods…
A: Cost of goods sold = Cost of goods manufactured + Beginning finished goods inventory - Ending…
Q: ABC reported the following data for its first year of operations: Net sales $2,800 Cost of goods…
A: The gross profit ratio indicates the level of profit earned by the company on the net sales. It can…
Q: If Sales revenue is SR 26,000, beginning finished goods inventory is SR 8,000, ending finished goods…
A: Cost of goods sold: All the expenses that are incurred in making a product are called Cost of Goods…
Q: The weighted-average cost method is used by Mendez, Inc. Sales are $90,000, the number of units…
A: The gross profit is the amount left after subtracting the cost of goods sold from the sales. And the…
Q: Consider the following data: Sales -- P 100,000; Gross Profit rate based on sales -- 30%; Goods…
A: Ending Finished goods = Goods Available for Sale - Cost of goods sold where, Cost of goods sold =…
Q: X Company had $90,000 of ending finished goods inventory, beginning finished goods inventory was…
A: Cost of Good Sold - It is refers to the direct costs for production of goods sold by the company.
Q: Cherokee Incorporated is a merchandiser that provided the following information: Number of units…
A: An income statement is prepared by the business entities so as to determine how much amount of gross…
Q: The following is the year ended data for Tiger Company: Sales Revenue $57,000 Cost of Goods…
A: The cost of goods available for sale seems to be the expense of total products manufactured…
Q: Financial information is presented below: Operating expenses $ 40,000 Sales revenue 200,000 Cost of…
A: Gross Profit: Difference between the sales and the cost of goods sold is called Gross Profit.
Q: Swank Clothiers had sales of $442,000 and cost of goods sold of $328,000. a. What is the gross…
A: Given: Sales= $ 4,42,000 Cost of good sold = $3,28,000
Q: Olde Tyme Beverage Company’s operating activities for the year are listed below. Cost of Goods…
A: Cost of goods manufactured = $ 128000 Operating expenses = $ 80,000 Beginning inventory = 12000…
Q: 2. Below is the Statement of Cost of Goods Manufactured and the Income Statement for two separate…
A: Statement of net income is an essential part of financial statements. These statements t are…
Q: Given the following information regarding to a recent period's operations: Sales - P? Beginning…
A: Gross margin is the difference between sales and cost of goods sold. Gross margin can be…
Q: The following is the year ended data for Baker Company: Sales Revenue $156,000 Cost of Goods…
A: Cost of goods available for sale: The cost of goods available for sale is the total cost incurred…
Q: Vera Ltd had beginning finished goods inventory of £35,000; its cost of goods manufactured was…
A: Cost of goods sold = Sales - Gross profit Cost of goods sold = 150,000 - 22,000 Cost of goods sold…
Q: The following information relates to Blake Auto Supply. Net Sales Revenue $196,000 Cost of Goods…
A: Net Income is the amount of net profit earned from business
Q: At the end of January, Mineral Labs had an inventory of 905 units, which cost $13 per unit to…
A: Under the LIFO method, the inventory which has been purchased most recently is sold first and under…
Q: A firm had 200,000 in sales; 120,000 in goods available for sale; ending finished goods inventory of…
A: Solution: Cost of good sold = goods available for sale - ensing Finished goods inventory = 120000 -…
Q: The MER-92566 merchandising company reported the following information for last year: Amount 24…
A: Contribution margin per unit = Selling price - Variable cost per unit
Q: Cynosure Company provided the following data: Cost Retail 340,000 4,500,000 100,000 150,000 90,000…
A: The retail inventory method is one of the accounting technique which is used to estimate the value…
Q: The gross margin for Corona Company for the third quarter of the year was R3 250 000, when sales…
A: Cost accounting is one of the branches of accounting, under which all costs are being analyzed and…
Q: At the various activity levels shown, Harper Company incurred the following costs: Units sold 20 40…
A: Variable cost per unit is constant. Variable cost will be change as same proportionate the change in…
Q: Assume the following information for Fruitful Proprietary Limited. for the year ended December 31,…
A: The main objective of a business or a company is to earn profits and incomes and this is done by the…
Q: AJXKXJ923 Corp. is a merchandiser with a single product. Corp.'s accountants have provided the…
A: Cost of goods sold per unit = (Highest activity cost - Lowest activity cost) / (Highest activity…
Q: Metlock Company is a multiproduct firm. Presented below is information concerning one of its…
A: The inventory can be valued using various methods as LIFO, FIFO and average method.
Q: The following is the year ended data for Tiger Company: Sales Revenue $56,000 Cost of Goods…
A: Cost of Goods sold = Beginning Finished Goods Inventory + Cost of Goods Manufactured - Ending…
Q: In its first year of business, Miss Take, the bookkeeper, erroneously recorded $10,000 of product…
A: Period costs are not manufacturing costs and are fully expensed in the period which they are…
Q: The gross profit margin of WALA company is 40%. If the gross profit is ₱332,560.00, how much is the…
A: Gross profit margin =40% Gross profit =P332,560 Therefore, Revenue =Gross profit/gross profit margin…
Q: The following information is available for Sandy Company: Gross Profit…
A: When all the direct costs incurred by the manufacturing firm are totaled, then this amount is known…
Q: The manager of the West store has concerns relating to the store’s financial performance and has…
A: Operating income (loss) = Gross profit - Total expenses Operating Income/(loss) % = Operating…
Q: (Assume that selling and administrative expenses are associated with goods sold.) Levine sells its…
A: "Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…
Q: Omega Company has the following two customers: Woodruff Ensley Sales $900,000 $800,000 Cost of…
A: Formula: Gross profit = Sales - Cost of goods sold
Q: Last year, the following inventories at cost were taken at the Smoke Shop: $7,260 $6,834 $6,726…
A:
Q: The following is the year ended data for Tiger Company: Sales Revenue $58,000 Cost of Goods…
A: Cost of Goods sold = Beginning Finished Goods Inventory + Cost of Goods Manufactured - Ending…
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- 2. If a company sells goods that cost P70,000 for P82,000, the firm will: reduce Finished-Goods Inventory by P70,000. b. reduce Finished-Goods Inventory by P82,000. C. report sales revenue on the balance sheet of P82,000. d. reduce Cost of Goods Sold by P70,000. a. to 3. Eleria Manufacturing recently sold goods that cost P35,000 for P45,000 cash. The journal entries to record this transaction would include: a credit to Work-in-Process Inventory for P35,000. b. a debit to Sales Revenue for P45,000. a debit to Finished-Goods Inventory for P35,000. d. a credit to Sales Revenue for P45,000. a. C.(b) An manufacturer produce a goods and sold all goods to a whole seller by adding 10% profit. The whole seller sold goods to a retailer by adding 5% margin that in turn sold goods to the customer by adding 5% cost and 10% margin of cost. VAT was paid and collected at each stage as per rule and rates. Show the amount of VAT at each stage and indicate the ultimate burden to the customer. The manufacturer incurred following expense in connection with its production: raw material Tk.7,00,000; direct wages Tk.1,50,000; manufacturing overhead Tk.2,00,000 administration expenses Tk.50,000; selling expenses Tk.30,000.Cost of Goods Sold As an accountant for Lee Company, your supervisor gave you the following calculations of the gross profit for the first quarter: Alternative Sales ($50 per unit) Cost of Goods Sold Gross Profit A $500,000 $200,000 $300,000 B 500,000 228,000 272,000 C 500,000 213,333 286,667 The three alternative cost flow assumptions are FIFO, average, and LIFO (the alternatives are not necessarily presented in this sequence). Lee uses the periodic inventory system. The computation of the cost of goods sold under each alternative is based on the following data: Units Cost/Unit Inventory, January 1 12,000 $20 Purchase, January 10 4,000 21 Purchase, February 15 6,000 22 Purchase, March 10 8,000 23 1. Prepare schedules proving the cost of goods sold shown here under each of the three alternatives. For average cost. LEE COMPANY Schedules of Cost of Goods Sold For First Quarter Ended March 31 FIFO LIFO Average Beginning…
- The manager of the West store has concerns relating to the store’s financial performance and has asked for help analyzing transfer costs. After calculating the operating income in dollars and the operating income percent, analyze the following financial information to determine costs that may need further investigation. It may be helpful to perform a vertical analysis (i.e., perform a vertical analysis). warehouse west store sales $18,920 $43,860 cost of goods sold 9,082 21,053 gross profit $9,838 $22,807 selling expenses 860 2,752 wages expense 4,730 15,351 costs allocated from corporate 2,838 4,386 Total expenses $8,428 $22,489 operating income/(loss) $ ? ? Operating Income/(loss) % ? ?The following information pertains to ABC Corporation: Beginning raw materials inventory Ending raw materials inventory Beginning work-in-process inventory Ending work-in-process inventory Beginning finished goods inventory Ending finished goods inventory Cost of goods manufactured Sales $37,000 $45,000 $18,000 $25,000 $36,000 $30,000 $241,000 $299,000 What is the gross profit earned by the ABC Corporation? Instructions: Input your answer without using a dollar Țign, comma or cents. For example, if your answer is 10000, input your answer as 10000 (and NOT $10000, or $10,000 or 10,000.00 or $10,000.00)Recalculate the customer-level operating income using the number of written orders but at their actual $8 cost per order instead of $15 (except for DC, whose actual cost is $15 per order). How will KC Corporation evaluate customer-level operating cost performance this period?
- 7. Which one of these is not an objective of cost accounting? a.Assisting shareholders in decision making b.Cost control and reduction c.Ascertainment of cost d.Determination of selling price 8. Calculate EOQ from the following details: Consumption per month is 2,000 units, ordering cost is RO 10 per order, purchase price is RO 100 per unit and annual carrying cost is 6%. a.283 units b.245 units c.219 units d.310 units(e) When sales increase by 1%, which of the following should increase by more than 1% in a merchandising company? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer. Any boxes left with a question mark will be automatically graded as incorrect.) V Variable cost Fixed cost ces Gross margin Contribution margin Net operating incomeEhlo Company is a multiproduct firm. Presented below is information concerning one of its products, the Hawkeye. Date Transaction Quantity Price/Cost 1/1 Beginning inventory 1,000 $12 2/4 Purchase 2,000 18 2/20 Sale 2,500 30 4/2 Purchase 3,000 23 11/4 Sale 2,200 33 Instructions Compute cost of goods sold, assuming Ehlo uses: a. Periodic system, FIFO cost flow. b. Perpetual system, FIFO cost flow. c. Periodic system, LIFO cost flow. d. Perpetual system, LIFO cost flow. e. Periodic system, weighted-average cost flow. f. Perpetual system, moving-average cost flow.
- You have the following information for Kingbird Diamonds. Kingbird Diamonds uses the periodic method of accounting for its inventory transactions. Kingbird only carries one brand and size of diamonds-all are identical. Each batch of diamonds purchased is carefully coded and marked with its purchase cost. March 1 March 3 March 5 March 10 March 25 Beginning inventory 180 diamonds at a cost of €368 per diamond. Purchased 240 diamonds at a cost of €420 each. Sold 224 diamonds for €720 each. Purchased 420 diamonds at a cost of €464 each. Sold 480 diamonds for €780 each.The commercial (sales) of both firms is as follows: Company A Company B Sales 4,000,000 4,000,000 Cost of goods sold 2,000,000 1,200,000 Gross profit 2,000,000 2,800,000 Average inventory 200,000 300,000 Inventory turnover 10 4 2. The company B has the lowest inventory turnover but it is more efficient in generating higher gross profit. Explain how this can happen. 3. Poor decision-making can have bad consequences on the financial activity of companies. Discuss this in details and give concrete examples.Which of the following statements is false? a. As business volume increases, fixed cost per unit decreases. b. In the hotel and restaurant business, a sale is the exchange products or services for value. c. Fixed costs change with volume of sales. d. Sales may be expressed in terms of the number of units sold. How much were the sales in November 2022 in Burnaby Hideaway restaurant if the Cost of Sales was $46,500, the Cost of Labor was $33,247, the fixed costs totaled $65,883, and the restaurant experienced loss of $2,129? a. $145,630 b. $143,501 c. $143,501 d. $158,759 Which of the following statements is true? a. Restaurant recipes show food, beverage, labor and other total costs. b. A restaurant income statement shows total food, and if alcoholic beverages are served, total beverage costs and other total costs. c. A restaurant’s income statement includes both, unit and total costs. d. In a restaurant that serves alcoholic beverages, total costs are only the costs of…