Classique Designs sells a variety of merchandise, including school shoes for girls. The business began the last quarter of 2013 with 30 pairs of the “Aerosoles” brand at a total cost of $54,000. The following transactions, relating to the “Aerosoles” brand were completed during the quarter: October 3 Purchased 45 pairs of shoes at a cost of $1,900 each October 15 Sold 55 pairs to Casually Elegant Ltd at a unit price of $2,780 October 26 Purchased 70 pairs at a cost of $2,400 each but these were subject to a trade discount of 5%. November 10 Sold 60 pairs to Best City Store which yielded total sales revenue of $192,000 November 14 Owing to an increased demand for this brand, the manager of Classique purchased 80 additional pairs of the “Aerosole” brand at a unit cost of $2,500, but additionally there was freight charge of $100 on each pair. November 24 Sold 60 pairs of shoes to Big Buy Company at a price of $3,600 each. November 30 A physical stock count on that date revealed that there were 42 pairs of the “Aerosoles” brand in the warehouse. December 4 Purchased 75 pairs of shoes at a total cost of $213,750. December 15 5 pairs of the shoes purchased on December 4 were returned to the supplier as they were of the wrong description. December 30 Sold 70 pairs to Regal Ltd. at a unit selling price of $4,400. Purchases Cost of Goods Sold Ending Inventory Date Units Per Unit Total ($) Units Per Unit Total($) Units Per Unit Total ($) Opening balance 30 1,800 54,000 03 Oct 45 1,900 85,500 30 1,800 54,000 45 1,900 85,500 15 Oct 30 1,800 54,000 25 1,900 47,500 20 1,900 38,000 70 2,280 159,600 10 Nov 20 1,900 38,000 40 2,280 91,200 30 2,280 68,400 14 Nov 80 2,600 20,800 30 2,280 68,400 80 2,600 20,800 24 Nov 30 2,280 68,400 20 2,600 78,000 50 2,600 130,000 30 Nov 8 2,600 20,800 42 2,600 109,200 4 Dec 75 2,850 213,750 42 2,600 109,200 75 2,850 213,750 15 Dec -5 2,850 -14250 42 2,600 109,200 30 Dec 42 2,600 109,200 70 2,850 199,500 28 2,850 79,800 42 2,850 119,700 Total 265 652,600 253 586,900 42 2,850 119,700 Calculate the gross profit for the period.
Classique Designs sells a variety of merchandise, including school shoes for girls. The business began the last quarter of 2013 with 30 pairs of the “Aerosoles” brand at a total cost of $54,000. The following transactions, relating to the “Aerosoles” brand were completed during the quarter:
|
October 3 |
Purchased 45 pairs of shoes at a cost of $1,900 each |
|
October 15 |
Sold 55 pairs to Casually Elegant Ltd at a unit price of $2,780 |
|
October 26 |
Purchased 70 pairs at a cost of $2,400 each but these were subject to a trade discount of 5%. |
|
November 10 |
Sold 60 pairs to Best City Store which yielded total sales revenue of $192,000 |
|
November 14 |
Owing to an increased demand for this brand, the manager of Classique purchased 80 additional pairs of the “Aerosole” brand at a unit cost of $2,500, but additionally there was freight charge of $100 on each pair. |
|
November 24 |
Sold 60 pairs of shoes to Big Buy Company at a price of $3,600 each. |
|
November 30 |
A physical stock count on that date revealed that there were 42 pairs of the “Aerosoles” brand in the warehouse. |
|
December 4 |
Purchased 75 pairs of shoes at a total cost of $213,750. |
|
December 15 |
5 pairs of the shoes purchased on December 4 were returned to the supplier as they were of the wrong description. |
|
December 30 |
Sold 70 pairs to Regal Ltd. at a unit selling price of $4,400. |
|
|
Purchases |
Cost of Goods Sold |
Ending Inventory |
||||||
|
Date |
Units |
Per Unit |
Total ($) |
Units |
Per Unit |
Total($) |
Units |
Per Unit |
Total ($) |
|
Opening balance |
|
|
|
|
|
30 |
1,800 |
54,000 |
|
|
03 Oct |
45 |
1,900 |
85,500 |
|
|
|
30 |
1,800 |
54,000 |
|
|
|
|
|
|
|
|
45 |
1,900 |
85,500 |
|
15 Oct |
|
|
|
30 |
1,800 |
54,000 |
|
|
|
|
|
|
|
|
25 |
1,900 |
47,500 |
20 |
1,900 |
38,000 |
|
|
|
|
|
|
|
|
70 |
2,280 |
159,600 |
|
10 Nov |
|
|
|
20 |
1,900 |
38,000 |
|
|
|
|
|
|
|
|
40 |
2,280 |
91,200 |
30 |
2,280 |
68,400 |
|
14 Nov |
80 |
2,600 |
20,800 |
|
|
|
30 |
2,280 |
68,400 |
|
|
|
|
|
|
|
|
80 |
2,600 |
20,800 |
|
24 Nov |
|
|
|
30 |
2,280 |
68,400 |
|
|
|
|
|
|
|
|
20 |
2,600 |
78,000 |
50 |
2,600 |
130,000 |
|
30 Nov |
|
|
|
8 |
2,600 |
20,800 |
42 |
2,600 |
109,200 |
|
4 Dec |
75 |
2,850 |
213,750 |
|
|
|
42 |
2,600 |
109,200 |
|
|
|
|
|
|
|
|
75 |
2,850 |
213,750 |
|
15 Dec |
-5 |
2,850 |
-14250 |
|
|
|
42 |
2,600 |
109,200 |
|
30 Dec |
|
|
|
42 |
2,600 |
109,200 |
70 |
2,850 |
199,500 |
|
|
|
|
|
28 |
2,850 |
79,800 |
42 |
2,850 |
119,700 |
|
Total |
265 |
|
652,600 |
253 |
|
586,900 |
42 |
2,850 |
119,700 |
- Calculate the gross profit for the period.
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