A. Macarty Company's records indicate the following information for the year: Merchandise inventory, 1/1 $ 550,000 Purchases 2,250,000 Net sales 3,100,000 On December 31, a physical inventory determined that ending inventory of $600,000 was in the warehouse. A. Macarty's gross profit on sales has remained constant at 30%. A. Macarty suspects some of the inventory may have been taken by some new employees. At December 31, what is the estimated cost of missing inventory? $42,000 $600,000 $30,000 O $180,000

Q: the following information appears in B corporation's records for the year ended December 31:…

A: Net sales = Sales - sales discount - sales return = $3,400,000 -  20,000 - 30,000 = $3,350,000 Cost…

Q: Nix’It Company’s ledger on July 31, its fiscal year-end, includes the following selected accounts…

A: We have the following information: Merchandise inventory: $37,800 Retained Earnings: $115,300…

Q: Gecelle Company reported during the current year beginning inventory P500,000, net…

A: Cost of goods sold = Sales - Gross profit =P3,200,000 - P3,200,000 x 25% = P2,400,000

Q: What is the​ company's estimated ending inventory for the​ month

A: Answer:   Option C

Q: Applying the Cost of Goods Sold Model Milton Company reported beginning inventory of $109,000 on…

A: 1. COST OF GOODS SOLD : = OPENING INVENTORY + PURCHASES - CLOSING INVENTORY  2. GROSS MARGIN : =…

Q: McKendrick Shoe Store has a beginning inventory of $45,000. During the period, purchases were…

A: The cost of goods available for sale is the cost that is incurred to produce the goods that are…

Q: Angel Dress Shop had net retail sales of $125,000 during the current year. The following additional…

A: There are multiple methods for measuring inventory. The retail method advocates valuing the closing…

Q: Selected information from the accounting records of Carbine Manufacturing follows:   Net sales…

A:

Q: Mac's Hardware's gross profit on sales is 40%. At the beginning of January, the cost of inventory…

A:

Q: at cost $70,000 for $118,000.  15 Collected a $30,000 account receivable.  17 Paid a $32,000 account…

A: The schedule is calculated as,

Q: Butter Company took a physical inventory at the end of the year and determined that $190,000 of…

A: Freight on Board Destination means that the goods will be transferred and the legal title of the…

Q: Royal Gorge Company uses the gross profit method to estimate ending inventory and cost of goods sold…

A:

Q: Assume that the following was extracted from Massy’s accounting information system for  operations…

A: The inventory valuation method used to evaluate the closing inventory and cost of goods sold.…

Q: The financial year of Mitex Co ended on 31 December 20X1. An inventory count on January 4 20X2 gave…

A: We have the following information: Total Inventory as on January 4 20X2: $527,300 Purchase of…

Q: Over the past several years, Landmark Supplies has averaged a gross profit of 34%. At the end of…

A: Ending inventory is determined after deducting COGS from goods available for sale and the gross…

Q: At the beginning of the year, Bennett Supply has inventory of $3,500. During the year, the company…

A: Cost of goods sold (COGS) : Cost of goods sold shows the expenses incurred for producing a product.…

Q: ry on Feb. 1 $280,000 $435,000 Net sales

A: Closing Inventory is the stock at the end of the closing period held by the entity. Markup percent…

Q: A business has the following trading account for the year ending 31 May 20X8: $ $ Sales turnover…

A: We have the following information: Sales turnover: $45,000 Opening Inventory: $4,000 Purchases:…

Q: The company has the ff account balances at the end of the year: COGS: 60,000; Sales Revenue:…

A: ADJUSTING ENTRIES IS AN ENTRY MADE IN COMPANY'S LEDGER TO CORRECT A MISTAKE MADE PREVIOUSLY IN THE…

Q: Ranns Supply uses a perpetual inventory system. On January 1, its inventory account had a begin-ning…

A: Cost of goods sold (COGS) = Net sales - Gross profit = $26,000,000 - $15,000,000 = $11,000,000

Q: A business has compiled the following information for the year ended 31 October 20X2: $ Opening…

A: Sales revenue = Cost of goods sold /  ( 1 - Gross profit rate )

Q: Harry Company's records indicate the following information: Merchandise inventory, January 1, 20X7…

A: Trading Account will be prepared to computer the estimated cost of missing inventory. Under this…

Q: Schuch Company presents you with the following account balances taken from its December 31 adjusted…

A: The question is based on the concept of Cost Accounting.

Q: Dollar Dress Shop’s inventory at cost on January 1 was $82,800. Its retail value was $87,500. During…

A: The cost retail method is followed to value the goods at the value that they are expected to fetch…

Q: Qtso Company reported during the current year the following: P 500,000 2,500,000 3,200,000 A…

A: The Cost of Goods sold is the Cost of producing the inventory by the firm. The Ending inventory is…

Q: Inventory at the beginning of the year cost $13,400. During the year, the company purchased(on…

A: Cost of goods sold = Beginning inventory + Purchases - Ending inventory

Q: Assume that the following was extracted from Massy’s accounting information system for operations at…

A: Estimated loss on fire can be calculated by the following formula   Estimated loss = Ending…

Q: Find the inventory turnover at retail of Walker Manufacturing. The starting inventory at retail was…

A: Inventory Turnover Ratio - This ratio indicates how many times company replaces it inventory with…

Q: Assume that the following was extracted from Massy’s accounting information system for operations at…

A: Introduction Gross profit method: gross profit method is the method of estimating amount in ending…

Q: Calculating the Average Inventory, the Inventory Turnover Ratio, and the Inventory Turnover in Days…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: Koto Corporation began the month of June with $300,000 of current assets, a current ratio of 2.5:1,…

A: As there are many transactions for calculating the current ratio , acid test ratio , working capital…

Q: . Bulk Wholesalers took in $378,800 in sales during July. They started the month with inventory…

A: "Since you have asked multiple questions, we will solve first question for you. If you want any…

Q: Description   The following information is available for Inverness Ltd.’s second year in business:…

A: Accounts Receivables are those persons to whom business has made credit sales on account and amount…

Q: .Your review of ABC Company's inventory and related records for the year revealed the following…

A: Gross profit ratio = Gross profit / Sales where, Gross profit = Sales - Cost of goods sold

Q: The Southern Company installed a new inventory management system at the beginning of Year 1. Shown…

A: Inventory Turnover=Cost of goods soldAverage value of Inventory Average Inventory= (Beginning…

Q: Over the past several years, Landmark Supplies has averaged a gross profit of 34%. At the end of…

A: Answers are as follows :

Q: Over the past several years, Landmark Supplies has averaged a gross profit of 34%. At the end of…

A: Gross profit on sales  = Sales  x  estimated gross profit rate = $1,100,000 x 34% = $374,000

Q: On January 1, Pope Enterprises’ inventory was $625,000. Pope made $950,000 of net purchases during…

A: Cost of goods sold = Beginning Inventory + Purchases - Ending Inventory Ending Inventory = Beginning…

Q: Delta Apparel Inc. uses a perpetual inventory system. At the beginning of the year inventory…

A: The ending inventory is calculated as difference between total goods available for sale and cost of…

Q: Your review of Mine Company's inventory and related records for the year revealed the following…

A: Opening inventory (O) = 450000 Purchases (P) = 3150000 Sales = 4200000 Gross profit ratio = 30%…

Q: A company reports the following:   Cost of goods sold $2,263,000   Average inventory 182,500…

A: Introduction: Inventory turnover is a financial ratio that shows how frequently a company's…

Q: Refer to the following selected financial information from Phantom Corp. Compute the company's days'…

A: GIVEN   Merchandise inventory  Year 2 = 287000 Year 1 =269500 Cost of goods sold Year 2 = 470400…

Q: Nix’It Company’s ledger on July 31, its fiscal year-end, includes the following selected accounts…

A: Closing Entry: Closing entries are passed at the end of accounting period to close the balances of…

Q: On December 31, 2010, what is the estimated cost of missing inventory?

A: Net sales = Sales - sales discount - sales return = $3,400,000 -  20,000 - 30,000 = $3,350,000 Cost…

Q: Selected financial information for Stuart Company for Year 4 follows: Sales $2,050,000 1,435,000…

A: Ratio analysis means where different ratio of various years of years companies has been compared and…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.