ABC, wholesaler, incurred the following costs: Purchase abroad ($ 1= P 50) $ 10,000 P 50,000 Import duties Irrecoverable purchase taxes Fees paid to mediator in arranging imported goods Insurance on shipment Handling cost Normal freight charge for express shipping Abnormal freight charge for express shipping Local purchase price, gross of trade discount Trade discount 60,000 20,000 12,000 8,000 14,000 30,000 300,000 17,000 7,000 5,000 40,000 22,000 Delivery cost (from supplier to business premise) Delivery ast (from business premise to customer) Advertisement cost Storage cost
ABC, wholesaler, incurred the following costs: Purchase abroad ($ 1= P 50) $ 10,000 P 50,000 Import duties Irrecoverable purchase taxes Fees paid to mediator in arranging imported goods Insurance on shipment Handling cost Normal freight charge for express shipping Abnormal freight charge for express shipping Local purchase price, gross of trade discount Trade discount 60,000 20,000 12,000 8,000 14,000 30,000 300,000 17,000 7,000 5,000 40,000 22,000 Delivery cost (from supplier to business premise) Delivery ast (from business premise to customer) Advertisement cost Storage cost
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 4C
Related questions
Question
How much is the total cost of inventories purchased?
A. 989,000
B. 1,006,000
C. 954,000
D. 826,000
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