Question
Asked Oct 14, 2019
15 views

During the current year, merchandise is sold for $98,300 cash and $644,900 on account. The cost of merchandise sold is $520,200. What is the amount of the gross profit?

check_circle

Expert Answer

star
star
star
star
star
1 Rating
Step 1

Calculate the amount of net sales.

help_outline

Image Transcriptionclose

Net sales Cash sales Credit sales $98,300+$644,900 S743.200

fullscreen
Step 2

Calculate the amount of gross profit durin...

help_outline

Image Transcriptionclose

Particulars Amount in S Net sales $743,200 $520,200 $223.000 Less: Cost of merchandise sold Gross profit

fullscreen

Want to see the full answer?

See Solution

Check out a sample Q&A here.

Want to see this answer and more?

Solutions are written by subject experts who are available 24/7. Questions are typically answered within 1 hour.*

See Solution
*Response times may vary by subject and question.
Tagged in

Business

Accounting

Cost Accounting

Related Accounting Q&A

Find answers to questions asked by student like you
Show more Q&A
add
question_answer

Q: Question 22 View Policies Current Attempt in Progress Under just-in-time processing O raw materials ...

A: Meaning of Applied Overhead:Applied overhead is the amount of overhead cost that has been applied to...

question_answer

Q: 13 View Policies -/1 Cutrent Attempt in Progress Materials costs of $1330000 and conversion costs of...

A: Material cost per unit is ascertained by dividing the total material cost by the total no. of units.

question_answer

Q: 33. In 2019, Luscious Lemons reported net income of $16,335 thousand, retained earnings at the begin...

A: Retained earnings: Retained earnings are the portion of earnings kept by the business for the purpos...

question_answer

Q: Bolton sold a customer service contract with a price of $37,000 to Sammy's Wholesale Company. Bolton...

A: The required journal entry is:

question_answer

Q: Discuss the trade-off in choosing to update the customer credit, should the sales clerk ever be auth...

A: The credit limit of each customer is decided by the credit manager based on the customer's credit ra...

question_answer

Q: Novak Incorporated factored $139,800 of accounts receivable with Splish Factors Inc. on a without-re...

A: Prepare journal entry in the books of Novak Incorporation: 

question_answer

Q: Dunng its Secand and third qvarters OF Fiscal 20 14, Rasbery inc wrote cown s BB lo Smrtphone invent...

A: Click to see the answer

question_answer

Q: Accounting Question

A: Correct answer – debit to manufacturing overhead for $31,950. Compute total overhead cost from milli...

question_answer

Q: Wolsey Industries Inc. expects to maintain the same inventories at the end of 20Y3 as at the beginni...

A: Since we are entitled to answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the que...