During 2021, Claneverium Corporation transferred inventory from its home office to its Laguna branch at a billed price of P110,000. The inventory originally cost the company P90,000. The home office reported sales and cost of goods sold of P1,400,000 and P590,000, respectively. The Laguna branch reported sales and cost of goods sold of P675,000 and P300,000, respectively. All of the inventory had been sold by year-end. What is the cost of goods sold to be reported in the 2021 combined statement of comprehensive income? a. 870,000 b. 890,000 c. 800,000 d. 780,000
During 2021, Claneverium Corporation transferred inventory from its home office to its Laguna branch at a billed price of P110,000. The inventory originally cost the company P90,000. The home office reported sales and cost of goods sold of P1,400,000 and P590,000, respectively. The Laguna branch reported sales and cost of goods sold of P675,000 and P300,000, respectively. All of the inventory had been sold by year-end. What is the cost of goods sold to be reported in the 2021 combined statement of comprehensive income? a. 870,000 b. 890,000 c. 800,000 d. 780,000
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 5RE: Dani Corporation signed a binding commitment on December 2 to purchase inventory for 300,000 cash on...
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During 2021, Claneverium Corporation transferred inventory from its home office to its Laguna branch at a billed price of P110,000. The inventory originally cost the company P90,000. The home office reported sales and cost of goods sold of P1,400,000 and P590,000, respectively. The Laguna branch reported sales and cost of goods sold of P675,000 and P300,000, respectively. All of the inventory had been sold by year-end. What is the cost of goods sold to be reported in the 2021 combined statement of comprehensive income?
a. 870,000
b. 890,000
c. 800,000
d. 780,000
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