1. Profit or loss computation The net sales of Eagle Company in 2020 is P580,000. The cost of goods manufactured is P480,000. The beginning inventories of Goods in Process and Finished goods are P82,000 and P65,000, respectively. The ending inventories are: Goods in Process-P75,000, Finished goods P55,000. The Selling Expenses and General & Administrative Expenses are 5% and 2.5% of Cost of sales, respectively. Required: Compute in good form the net income before tax for the year 2020
1. Profit or loss computation The net sales of Eagle Company in 2020 is P580,000. The cost of goods manufactured is P480,000. The beginning inventories of Goods in Process and Finished goods are P82,000 and P65,000, respectively. The ending inventories are: Goods in Process-P75,000, Finished goods P55,000. The Selling Expenses and General & Administrative Expenses are 5% and 2.5% of Cost of sales, respectively. Required: Compute in good form the net income before tax for the year 2020
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter22: Accounting For Changes And Errors.
Section: Chapter Questions
Problem 2RE: Heller Company began operations in 2019 and used the LIFO method to compute its 300,000 cost of...
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COLLEGE OF BUSINESS AND ACCOUNTANCY
INTERMEDIATE ACCOUNTING
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