44.The following data were available for ABC Corp at Nov 7, 20X2: Net purchases ( Jan 1-Nov 7) P75,000 Inventory, Jan1 P4,000 Gross Sales, P115,000 Sales discount, P7,000 Gross profit is 50% of cost A fire destroyed the warehouse on Nov 7, 20X2 and destroyed 75% of the ending inventory. How much was the ending inventory at Nov 7, 20X2? 2,333 7,000 21,500

44.The following data were available for ABC Corp at Nov 7, 20X2: Net purchases ( Jan 1-Nov 7) P75,000 Inventory, Jan1 P4,000 Gross Sales, P115,000 Sales discount, P7,000 Gross profit is 50% of cost A fire destroyed the warehouse on Nov 7, 20X2 and destroyed 75% of the ending inventory. How much was the ending inventory at Nov 7, 20X2? 2,333 7,000 21,500

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

Chapter7: Inventories: Cost Measurement And Flow Assumptions

Section: Chapter Questions

Problem 2RE: On January 1, Pope Enterprises inventory was 625,000. Pope made 950,000 of net purchases during the...

See similar textbooks

Similar questions

Shaquille Corporation began the current year with inventory of 50,000. During the year, its purchases totaled 110,000. Shaquille paid freight charges of 8,500 for those purchases. At the end of the year, Shaquille had inventory of 47,800. Prepare a schedule to determine Shaquille's cost of goods sold for the current year.
On January 1, Pope Enterprises inventory was 625,000. Pope made 950,000 of net purchases during the year. On its year-end income statement, Pope reported cost of goods sold of 1,025,000. Calculate Popes December 31 ending inventory.
Inventory analysis Costco Wholesale Corporation (COST) and Wal-Mart Stores Inc. (WMT) compete against each other in general merchandise retailing, gas stations, pharmacies, and optical centers. Below is selected financial information for both companies from a recent year's financial statements (in millions): a. Determine for bom companies (1) the inventory turnover and (2) the days' sales in inventory. Round to one decimal place. b. Compare and interpret the inventory metrics computed in (a).
33.The following data were available for ABC Corp at Nov 7, 20X2:Net purchases ( Jan 1-Nov 7) P75,000Inventory, Jan1 P4,000Gross Sales, P115,000Sales discount, P7,000Gross profit is 50% of costA fire destroyed the warehouse on Nov 7, 20X2 and destroyed 75% of the ending inventory.How much was the loss on fire at Nov. 7, 20x2? 16,125 5,375 5,250 1,750
The following data were available for ABC Stores at Nov. 6, 20X1:Purchases (Jan 1- Nov 5) P75,000Purchase returns, P3,000Inventory, Jan 1, P11,000Sales, P125,000Sales returns, P20,000Gross profit rate is 50% of cost of sales.The warehouse of ABC Store was burned down and 30% of the inventory was lost in the fire.How much is the loss on fire at Nov 6, 20X1? a. 3,900 b. 9,150 c. 13,000 d. 30,500
4.The following data were available for ABC Stores at Nov. 6, 20X1:Purchases (Jan 1- Nov 5) P75,000Purchase returns, P3,000Inventory, Jan 1, P11,000Sales, P125,000Sales returns, P20,000Gross profit rate is 50% of cost of sales.The warehouse of ABC Store was burned down and 30% of the inventory was lost in the fire.How much is the loss on fire at Nov 6, 20X1? 3,900 9,150 13,000 30,500
5. On March 1, AYE Merchandising had an inventory of P560,000 in its retail store. Purchases made in March amount to P480,000 and March sales total P870,000. On April 1, a fire destroyed most of the inventory and the records kept by the enterprise. Gross profit rate on cost is 25%. Merchandise with a selling price of P10,000 remained undamaged after the fire while inventory with a selling price of P15,000 can be sold for P5,000. What is the estimated amount of fire loss?
On June 19, 20X0, a fire destroyed a fraction of the uninsured merchandise inventory of the ABC Merchandising Company. The following data are available:Inventory, January 1 - P 190,000Purchases, January 1 through June 19 – 1,660,000Sales, January 1 through June 19 – 1,276,500Sales discount – 6,000Markup percentage on cost - 25%Sales returns – 32,500Inventory in recovered in good condition – P745,000Salvage value of inventory recovered from fire – P8,450Freight in – 80,500Purchase returns – 18,600Purchase discounts – 120,400As of this moment in time, how much is the net income of ABC Merchandising Company limiting on the information provided?
The following information is available for October for Sandhill Company. (Round answers to 0 decimal places, e.g. 5,275.) Beginning inventory $360000 Net purchases 1120000 Net sales 2240000 Percentage markup on cost 66.67% A fire destroyed Sandhill’s October 31 inventory, leaving undamaged inventory with a cost of $22000. Using the gross profit method, the estimated ending inventory destroyed by fire is $760000. $575333. $114000. $597333
1. Assume that the following was extracted from Massy’s accounting information system for operations at this outlet for the week, up to the time of the fire. Sales $830,00 Purchases Returns $56,000Purchases $580,000 Beginning Inventory $160,000Sales Returns $42,000The company’s gross profit percent based on net selling price is 40%. Merchandise with a selling price of $60,000 remainded undamaged after the fire. Some smoke damaged merchandise has a residual value of $18,200.The company is in the process of estimating its fire loss on inventory using the gross profit method, for insurance purposes. Required:Prepare a detailed schedule to compute the estimated fire loss incurred on inventory
On June 19, 20X0, a fire destroyed the entire uninsured merchandise inventory of the ABC Merchandising Company. The following data are available:Inventory, January 1 - P 90,000Purchases, January 1 through June 19 - 660,000Sales, January 1 through June 19 - 876,000Sales discount – 6,000Markup percentage on cost - 20%What is the approximate inventory loss as a result of the fire? PS. I answered 25,000 and it is wrong.
A home office ships inventory to its branch at 125% of cost. The required balance of the Deferred Profit account is P236,250. During the year, the home office sent merchandise to the branch costing P2,352,000. At the start of the year, the branch’s balance sheet shows P945,000 of inventory on hand that was acquired from the home office. By what amount is the cost of goods sold overstated?* a. P 777,000 b. P 540,750 c. P 236,250 d. P 588,000 pls. answer it asap thanks