3. ABC, a VAT registered, imported goods from a foreign supplier and incurred the following costs: Cost of purchases based on vendor' invoice Trade discounts on purchases, already deducted Import duties Freight and insurance on purchases Other handling cost related to imports P 5,000,000 500,000 400,000 1,000,000 100,000 Salaries of accounting department 600,000

3. ABC, a VAT registered, imported goods from a foreign supplier and incurred the following costs: Cost of purchases based on vendor' invoice Trade discounts on purchases, already deducted Import duties Freight and insurance on purchases Other handling cost related to imports P 5,000,000 500,000 400,000 1,000,000 100,000 Salaries of accounting department 600,000

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter24: Recording International And Internet Sales

Section: Chapter Questions

Problem 1AP

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19 - What is the payment method in which the goods are sent to the buyer without payment by the exporter company and the cost of the goods is paid within the predetermined term?A) Payment with Acceptance CreditB) Payment Against GoodsC) Pre-financing PaymentD) Policy PaymentE) Cash Against Documents
WaterCo, a U.S. corporation, purchases inventory for resale from unrelated distributors outside the U.S. It resells this inventory to U.S. customers with title passing inside the United States. What is the sourcing of WaterCo's inventory sales income? a.50% U.S. source and 50% foreign source. b.100% foreign source. c.50% foreign source and 50% sourced based on location of manufacturing assets. d.100% U.S. source.
Which of the following statements is incorrect? a) Sales tax collected by a seller is recorded as an increase to sales tax payable. b) Freight in is used in the calculation of net purchases. c) A purchase discount is calculated after subtracting returns and allowances from gross purchases. d) If an item is shipped FOB destination, the seller is responsible for the shipping costs. e) If a seller makes a sale under the terms 2/10, net 30, the sales discount is only available if the buyer pays within the 30 day window. Plz answer fast without plagiarism please i give up vote
3. For a purchase of goods on destination, input tax of €665 is booked. How high are the trade payables?
If purchases were made under terms of (a) trade discount of 20%, (b) credit terms of 2/10, n/30, and (c) shipping terms of FOB shipping point, freight collect, which of the following sentences are FALSE? a. The entity will pay for its freight-in on the purchase. b. The invoice price is only 80% of the list price. c. If the entity uses the perpetual inventory method, shipping cost would be recorded as a debit to Freight-in and a credit to cash. d. If the entity paid on the tenth day, it would only pay 98% of the invoice price.
29 - How are purchase refunds recorded to which account?A) From the purchase to the debt of the returns accountB) To the credit of the commercial goods accountC) To the debt of domestic sales accountD) To trade goods account debtE) Cost of commercial goods sold is credited to the account
8 - How are the expenses incurred in export transactions and undertaken by the exporter company recorded into which account?A) To the debt of the 612 Other Discounts Account B) To the debt of 770 General Administrative Expenses Account C) To the debt of 159 Advances Given Account D) To the debt of the 760 Marketing, Sales and Distribution Expenses Account E) To the debt of 780 Financing Expenses account
Oust the Turtle Corporation provided the following data as of December 31, 2020: Items counted in the bodega 4,000,000Items included in the count specifically segregated per sales contract 100,000Items in receiving department, returned by customer, in good condition 50,000Items ordered and in the receiving department, invoice not received 400,000Items ordered, invoice received but goods not received. Burden of freight is on the buyer 300,000Items shipped today, invoice mailed, FOB shipping point 250,000Items shipped today, invoice mailed, FOB destination 150,000Items currently held on consignment and in bodega…
Consider each of the following independent situations. Should a company report the goods in its inventory? (a) Goods purchased by the company with shipping terms FOB shipping point that are in transit at the end of the year (b) Goods received by the company on consignment (c) An estimate of the amount of goods sold by the company that it expects the buyer to return (d) Goods required to be purchased by the company under an unconditional purchase obligation
Requirement a. What are the accounting requirements for a correct sales cutoff? A. A shipment should be recorded as a sale when the risks of ownership transfer to the buyer and collectability is reasonably assured. B. A shipment should be recorded as a sale when the merchandise is shipped. C. A shipment should be recorded as a sale when the payment for the merchandise has beeb received by the seller. D. A shipment should be recorded as a sale when the merchandise is received by the purchaser.
transactions involving sale (and purchase) of goods and services are VAT-inclusive, except sale (and purchase) transactions quoted at a list price, in which case, 12% VAT will be computed and added to the invoice price. What type of journal does each entry belongs. Oct 13 - Purchased Japan Silk fabric from JapSilk, P112,000 with the following terms: 20% downpayment, balance 2/15, n/30; FOB Destination - Freight Collect. In order to maintain good credit standing with JapSilk, Bel settled its outstanding account by issuing 30-day non-interest bearing promissory note to JapSilk. Oct. 14- Issued Credit Memo No. 100 to Arlene Co. for allowances granted on slightly deformed items delivered the previous day, P672. Oct 16 - Sold bridal garments on account to FABrides, at a list price of P38,000. Shipping terms: FOB Destination - freight prepaid; P560. Oct 30- Cash Sales, P280,000 list price. FOB shipping point, collect. Freight Cost P5,000. Oct 31-…
The company purchased appliances for sale worth P4,000,000, VAT exclusive on account under the terms: Less: 10%, 2/10, n/30 FOB shipping point freight collect, P50,000. The buyer paid within the discount period. How much is the final payment paid by the buyer in case he paid the account not within the discount period and if P5,000 worth of goods is returned due to defective deliveries? 3,595,000 4,026,400 3,595,000 4,029,760