Problem 13-13 (IAA) Wholesome Company sold merchandise on a basis to dealers. The gross profit was 25% above cost. consignment The dealer is paid a 10% commission of the sales price for all sales made. All dealer sales are made on a cash basis. The following consignment activities occurred during the current year: Manufacturing cost of goods shipped on consignment Sales price of merchandise sold by dealers Payments remitted by dealers after deducting commission 8,800,000 9,600,000 6,300,000 What amount should be reported as gross profit or consignment sales? a. 2,400,000 b. 1,920,000 c. 1,700,000 d. 1,220.000

Problem 13-13 (IAA) Wholesome Company sold merchandise on a basis to dealers. The gross profit was 25% above cost. consignment The dealer is paid a 10% commission of the sales price for all sales made. All dealer sales are made on a cash basis. The following consignment activities occurred during the current year: Manufacturing cost of goods shipped on consignment Sales price of merchandise sold by dealers Payments remitted by dealers after deducting commission 8,800,000 9,600,000 6,300,000 What amount should be reported as gross profit or consignment sales? a. 2,400,000 b. 1,920,000 c. 1,700,000 d. 1,220.000

SWFT Corp Partner Estates Trusts

42nd Edition

ISBN:9780357161548

Author:Raabe

Publisher:Raabe

Chapter16: Multistate Corporate Taxation

Section: Chapter Questions

Problem 35P

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Problem 10-6 (IAA) / Autumn Company provided the following transactions for the current year, the first year of operations. 1. Purchase of merchandise at an invoice price of P4,750,000 excluding freight. Terms are 2/10; n /30. 2. Freight paid, P250,000. The freight is allocated to each purchase. 3. Cash payment on purchases, P3,717,000, of which P1,617,000 was paid within the discount period. 4. It is expected that all discounts on unpaid accounts payable will be lost. 5. On December 31, one fifth of the merchandise remains on hand. Required: a. Prepare journal entries to record the transactions using gross method and net method. b. Compute inventory and cost of sales under each method.
Lapu-lapu Company sold merchandise on a consignment basis to dealers. The gross profit was 25% above cost. The dealer is paid a 10% commission of the sales price for all sales made. All dealer sales are made on a cash basis. The following consignment activities occurred during the current year Manufacturing cost of goods shipped on consignment 8,800,000 Sales price of merchandise sold by dealers 9,600,000 Payments remitted by dealers after deducting commission 6,300,000 19. What was the gross profit on consignment sales? 1,920,000 c. 1,700,000 1,220,000 d. 2,400,000
Items counted in the bodega Amiable Company provided the following data at year-end: PROBLEMS Problem 10-1 (IAA) Amiable Company provided the following data at year-end: 4,000,000 trems included in the count specifically segregated per sales contract Items in receiving department, returned by customer, in good condition Items ordered and in the receiving department, invoice not received Items ordered, invoice received but goods not received. Freight is paid by seller. Items shipped today, invoice mailed, FOB shipping point Items shipped today, invoice mailed, FOB destination Items currently being used for window display Items on counter for sale Items in receiving department, refused by us because of damage Items included in count, damaged and unsalable Items in the shipping department 100,000 50,000 400,000 300,000 250,000 150,000 200,000 800,000 180,000 50,000 250,000 Required: Compute the correct amount of inventory.
Problem 10-1 (IAA) Amiable Company provided the following data at year-end: Items counted in the bodega Items included in the count specifically segregated per sales contract Items in receiving department, returned by customer, in good condition Items ordered and in the receiving department, 4,000,000 100,000 50,000 invoice not received Items ordered, invoice received but goods not received. Freight is paid by seller. Items shipped today, invoice mailed, FOB shipping point Items shipped today, invoice mailed, FOB destination Items currently being used for window display Items on counter for sale 400,000 300,000 250,000 150,000 200,000 800,000 Items in receiving department, refused by us because of damage 180,000 Items included in count, damaged and unsalable Items in the shipping department 50,000 250,000 Required: Compute the correct amount of inventory.
What is the estimated cost of goods sold for the current year? Problem 13-3 (AICPA Adapted) The following information is available for the current year: Wecent history, the entity had a gross profit of 25% on sales. Beginning inventory Purchases Purchase returns Sales Sales returns Sales allowances Uhat is the estimated cost of goods sold for the current year? 520,000 4,120,000 60,000 5,600,000 400,000 100,000 a. 3,360,000 b. 3,830,000 c. 3,900,000 d. 3,825,000
Problem 1 Gemini Company started business at the beginning of the current year. The entity established an allowance for doubtful accounts estimated at 5% of credit sales. During the year, the entity wrote off P50,000 of uncollectible accounts. Further analysis showed that merchandise purchased amounted to P9,000,000 and ending merchandise inventory was P1,500,000. Goods were sold at 40% above cost. The total sales comprised 80% sales on account and 20% cash sales. Total collections from customers, excluding cash sales, amounted to P6,000,000. 1. What is the amount of cost of goods sold? 2. What is the amount of sales on account? 3. What is the net realizable value of accounts receivable at year-end?_
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1. During December, A Company started doing business and had gross credit trade sales of $800,000, terms 2/10 Net 30. The cost of goods sold of $480,000, selling general administration costs of $100,000, Interest Expense of $10,000; and an income tax rate of 30%. a. Prepare an income statement b. Prepare journal entries Assuming gross method and all payments for the trade sales were made within 10 days.
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