1.1 Calculate the economic order quantity (EOQ) per annum. Economic order quantity Startrek Secondary School purchases 700 math's sets per annum. The cost of each math set is R80. Each set is sold for R100. The cost of placing a single order is R45. The holding cost is 11% of the unit purchase price. 1.2 Calculate the value of closing inventory using the Weighted average cost inventory valuation method Inventory valuation The following information concerning blankets appeared in the journal of Casio Traders for the month of September 2022: 8-2 RE9 Date Details Units Cost per unit Opening inventory 20 R85 7 Purchases 23 R90 16 Purchases 33 R95 25 Purchases 18 R100 31 Sales for the month 69

1.1 Calculate the economic order quantity (EOQ) per annum. Economic order quantity Startrek Secondary School purchases 700 math's sets per annum. The cost of each math set is R80. Each set is sold for R100. The cost of placing a single order is R45. The holding cost is 11% of the unit purchase price. 1.2 Calculate the value of closing inventory using the Weighted average cost inventory valuation method Inventory valuation The following information concerning blankets appeared in the journal of Casio Traders for the month of September 2022: 8-2 RE9 Date Details Units Cost per unit Opening inventory 20 R85 7 Purchases 23 R90 16 Purchases 33 R95 25 Purchases 18 R100 31 Sales for the month 69

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

Chapter8: Inventories: Special Valuation Issues

Section: Chapter Questions

Problem 11RE: Johnson Corporation had beginning inventory of 20,000 at cost and 35,000 at retail. During the year,...

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Comprehensive The following information for 2019 is available for Marino Company: 1. The beginning inventory is 100,000. 2. Purchases returns of 4,000 were made. 3. Purchases of 300,000 were made on terms of 2/10, n/30. Eighty percent of the discounts were taken. 4. At December 31, purchases of 20,000 were in transit, FOB destination, on terms of 2/10, n/30. 5. The company made sales of 640,000. The gross selling price per unit is twice the net cost of each unit sold. 6. Sales allowances of 6,000 were made. 7. The company uses the LIFO periodic method and the gross method for purchase discounts. Required: 1. Compute the cost of the ending inventory before the physical inventory is taken. 2. Compute the amount of the cost of goods sold that came from the purchases of the period and the amount that came from the beginning inventory.
Johnson Corporation had beginning inventory of 20,000 at cost and 35,000 at retail. During the year, it made net purchases of 180,000 at cost and 322,000 at retail. Johnson nude sales of 300,000. Assuming a price index of 100 at the beginning of the year and 110 at the end of the year, compute Johnsons ending inventory at cost using the dollar-value LIFO retail method.
1. What is the Cost of Goods Sold (COGS) for the year? Beginning Inventory: $10,000Purchase for the year: $113,000Freight-in for the shipping under F.O.B Shipping Point term: $5,000Purchase Discount for the year: $12,000Purchase Return for the year: $6,000End of the year physical inventory balance: $35,000
A company that purchases inventory costing $10,000 onterms 2/10, n/30, but first returns one-half of those goods,will receive a discount of what amount if it pays on thelast day of the discount period?a. $0 c. $200b. $100 d. $5,000
The annual inventory requirement at the C &E Enterprises is P2,500 units. Each inventory item has a value of P5,000. Ordering cost is P50.00. Carrying cost is 20% of average inventory. Find the following: a. Optimal number of order per year b. Economic order quantity c. Annual carrying cost d. Annual Ordering cost e. Total annual inventory cost
Part A. Conte Company has a beginning inventory in year one of $700,000 and an ending inventory of $847,000. The price level has increased from 100 at the beginning of the year to 110 at the end of year one. Calculate the ending inventory under the dollar-value LIFO method. Part B. At the end of year two, Conte's inventory is $943,000 in terms of a price level of 115 which exists at the end of year two. Calculate the inventory at the end of year two continuing the use of the dollar-value LIFO method.
Assuming that net purchases cost R250 000 during the year. The closing inventory was of R4 000, and opening inventory was of R30 000, how much was the cost of goods sold? Select one: a. R280 000 b. R246 000 c. R276 000 d. R254 000
The expenses other than interest expense of Ratio Company for the current year is 40% of cost of sales but only 20% of sales. Interest expense is 5% of sales. The amount of purchases is 120% of cost of sales. Ending inventory is twice as much as the beginning. The income after tax of 35% for the current year is P390,000. What is the amount of inventory at the end of the year? Choices: 400,000 240,000 480,000 260,000
Consider the following information for costing purposes: Sales P80,000; Opening Inventory P10,000; Net Purchases P45,000; and Cost of Goods Sold P50,000. Determine the Ending Inventory.a. P10,000b. P15,000c. 5,000d. 25,000
1. The home office bills its branch at 40% above cost. During the year 2020, goods costing 150,000 were shipped to the branch. The account “allowance for overvaluation of branch inventory”, after adjustment, shows a balance of P25,000 at the end of the year. Compute the amount of ending inventory at: a. Cost and b. Billed Price
Seven Sea Corporation sells Ovens for an average of OMR 50, and which cost OMR 25. This is a cost-to-retail percentage of 80%. Seven seas beginning inventory has a cost of OMR 80,000. It paid OMR 85,000 for purchases during the month, and it had 150,000. Calculate the ending inventory by following Retail inventory method. a. OMR 165000 b. OMR120000 c. None of the given options d. OMR 45000
Given the following information: Annual sales in units 40,000 Cost of placing an order $58.00 Per-unit carrying costs $2.30 Existing units of safety stock 600 What is the EOQ? Round your answer to the nearest whole number. units What is the average inventory based on the EOQ and the existing safety stock? Use the rounded value of the EOQ from the previous question in your calculations. Round your answer to the nearest whole number. units What is the maximum level of inventory? Use the rounded value of the EOQ from the previous questions in your calculations. Round your answer to the nearest whole number. units How many orders are placed each year? Use the rounded value of the EOQ from the previous questions in your calculations. Round your answer to the nearest whole number. orders per year