Following are the Dhofar Company's information: Gross sales. . OMR 255000, ....... Sales returns and discounts.. OMR 5000. Opening Inventory...OMR 15000 Total Purchases... OMR 250000 Purchase returns... OMR 25000 Closing Inventory... OMR 20000 According to above values, which of the following is the correct Gross Profit Margin (in %) of the company?

Q: The following table shows some selected financial information of Quartz Company. According to the…

A: Inventory turnover ratio Net Sales / Average inventory Net sales = Gross sales - Sales  Returns =…

Q: Calculate the value of cost of goods sold for Thompson company given the following information:…

A: Quick Ratio = Liquid Assets / Current Liabilities Current Ratio = Current Assets/ Current…

Q: Lamas has the following products in inventory at the year end: Selling Price P 65 P 23 P 25 Selling…

A: As per accounting standard 2, all inventories in the business should be valued at lower of cost or…

Q: The following data were taken from the financial records of Mydorf Company. Net Sales Beginning…

A: Introduction: Written records that describe or attest to company transactions are known as financial…

Q: Complete the balance sheet and sales information in the table that follows for J. White Industries…

A: Ratio Analysis Ratio Analysis is one of the important tool by the management to determine the…

Q: What will be the inventory turnover ratio based on the following given information?   Net sales are…

A: Solution: Inventory turnover ratio is calculated to know how much time in a year company is able to…

Q: The following table shows some selected financial information of Grand Company. According to the…

A: The question is multiple choice question  Required  Choose the Correct Option.

Q: The trading results of a Merchandise trader is as follows: Net Sales OMR 100,000, Cost of Goods sold…

A: This question deals with the concept of multi-step income statement. In multi-step income statement…

Q: Assuming that all net sales figures are at retail and all cost of goods sold figures are at cost,…

A: * Answer 4,6 and 8 is only asked   Inventory turnover ratio = Cost of Goods Sold/ Average Inventory…

Q: Common Size Analysis

A: First option is wrong because in horizontal analysis, the items of financial statements are compared…

Q: The following table shows some selected financial information of ABC Company. Gross sales. . OMR…

A:

Q: Compute the inventory turnover ratio and average selling period from the following data of a trading…

A: Inventory turnover ratio determines no of times inventory is consumed in the given time period…

Q: The cost of goods sold was computed at P12.250. Total sales for the year were P42950. of which…

A: Inventory Turnover Ratio = Cost of goods sold / Average Inventory  Average Inventory = ( Beginning…

Q: Exercise 6-13 Inventory turnover and days' sales in inventory LA3 0 Use the following information…

A: The number of times a company sells or uses goods in a certain time period is known as inventory…

Q: Caminas has the following products in inventory at the year end. Product Quantity Cost Selling…

A: We have the following information: Product : AQuantity: 1,000Cost: $40Selling Price: $55Selling…

Q: The records of a business show the following information: Sales, P364,000; Purchases, P252,000;…

A: Solution 1: Net purchases = Purchases + Freight in - Purchase discount - Purchase returns = P252,000…

Q: Perform a vertical analysis for the entry "Gross Sales" on the portion of an income statement shown…

A: Particulars Amount % of Net Sales Revenue     Gross Sales $182000 107* Less: Sales Return…

Q: Scott Walker Company reported the following data for the past year: $460,000 $230,000 $100,000…

A: Cost of goods Sold refers to total cost incurred for producing goods right from acquisition of…

Q: Compute the inventory turnover ratio based on the following data: Sales revenue…

A: Inventory turnover ratio is the measure which is used to know the number of times company has sold…

Q: Stockton Co. prepared its income statement containing the information below. Using vertical…

A: Under the vertical analysis of the income statement, all the items of the income statement are…

Q: Use the weighted-average (AVG) cost allocation method, with perpetual inventory updating, to…

A: Formula: Gross margin = sales - cost of goods sold. Deduction of cost of goods sold from sales value…

Q: Compute for the ratio that measures how quickly Nezuko Inc. inventory converted into sales

A: Introduction:- Inventory Conversion Period shows how much time it takes to convert the inventory…

Q: William Company uses the periodic inventory system and theaccounts reflected the following data:…

A: In this numerical has covered the concept of LIFO and FIFO method for valuing the inventory.  FIFO…

Q: Income statement information for Einsworth Corporation follows: Sales $537,000   Cost of goods sold…

A: Vertical analysis is one of the methods used in analyzing financial statements. In vertical analysis…

Q: The following table shows some selected financial information of QuartZ Company. According to the…

A: The inventory turnover ratio is calculated as cost of goods sold divided by average inventory.

Q: The following is select account information for Sunrise Motors. Sales: $256,400; Sales Returns and…

A: Gross Profit Margin Ratio = (Gross profit/Net sales) *100 where gross profit = Net sales - Cost of…

Q: Use the weighted-average (AVG) cost allocation method, with perpetual inventory updating, to…

A: (a) Calculate the sales revenue.

Q: Use the following information for Shafer Company to compute inventory turnover for year 2. Year 2…

A: Inventory Turnover- It refers to the ratio which shows how many times the inventory has been brought…

Q: A business has compiled the following information for the year ended 31 October 2002: $ Opening…

A: Sales = Cost of sales×10060=$952500×10060=$1587500

Q: The following table shows some selected financial information of ABC Company. Gross sales. . OMR…

A: Solution:- Calculation of inventory turnover ratio as follows under:-

Q: The following data relates to the business of Hunter for the year ended 31 December 2009. Inventory…

A: Cost of sales or cost of goods sold means the cost of goods which has been sold out including direct…

Q: How much is net income

A: Net income = Sales + other income - cost of sales + opening inventory - closing inventory -…

Q: The following is a chart of the inventory purchases in the last year Number of Units Unit Cost Sales…

A: Inventory Valuation Methods are methods of valuation of inventory. There are three methods of…

Q: i. Use the information available in Income and Financial position statement in Part A and calculate…

A: The ratio is a measure of the relation between two numbers. In accounting, the relationship between…

Q: Perform a vertical analysis for the entry "Gross Sales" on the portion of an income statement shown…

A: Gross Sales% = Gross Sales / Net sales = $183,000/171,400 = 106.77%

Q: A company’s beginning inventory is $150,000, its net purchases are $230,000, and its netsales total…

A: Gross profit method: It refers to a method that allows the business in estimating the value of the…

Q: The income statement of Miller, Inc. includes the items listed below: $900,000 320,000 80,000 15,000…

A: 1. Cost of goods sold = Net Sales - Gross profit    2.Cost of goods available for sale =Beginning…

Q: Elijah Company uses the conventional retail inventory method to account for inventory. Cost Retail…

A: Note: Since you have asked multiple question, we will solve the first question for you. If you want…

Q: The following table shows some selected financial information of Grand Company. According to the…

A: Following is the answer to the question

Q: The following table shows some selected financial information of Quartz Company. According to the…

A: Gross profit is the profit before operating costs of the business have been considered.

Q: Use the first-in, first-out (FIFO) cost allocation method, with perpetual inventory updating, to…

A: FIFO: FIFO stands for First-In, First-Out.  In this method inventory purchased first will be sell…

Q: ABC Company has average inventory of $45 000, cost of goods sold is $650 000. What is the inventory…

A: Given data; Average inventory = $45,000 Cost of goods sold = $ 650,000

Q: sing the gross profit method with the following cost data, estimate the cost of ending inventory.…

A: Ending inventory is the value of inventory remaining unsold at the end of the period.  The inventory…

Q: The following information relates to a company’s year-end inventory: Cost of inventory OMR 1880;…

A: As per IAS 2, Inventory should be valued at the lower of the followings. Cost NRV [Net realizable…

Q: Using the following information, what is the amount of gross profit? Purchases $ 30,526   Selling…

A: Formula: Gross profit = Sales - Cost of goods sold

Q: The following table shows some selected financial information of ABC Company. Gross sales..... OMR…

A: The inventory turnover ratio presents the number of times by which the inventory is turned into the…

Q: Complete the balance sheet and sales information in the table that follows for Isberg Industries…

A: Total asset turnover is the ratio between sales and total assets. Total Assets = $300,000 Total…

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.