For numbers 6 and 7: Bruno Company provided the following data: Cost Retail Beginning inventory 340,000 540,000 Purchases 4,500,000 7,300,000 Freight in 100,000 Purchase return 150,000 300,000 Purchase allowance 90,000 Departmental transfer in 100,000 160,000 Net markup 200,000 Net markdown 500,000 Sales 6,500,000 Sales allowance 50,000 Employee discount 100,000 Spoilage and breakage 300,000 6. What is the estimated cost of ending inventory using the conservative retail? 668,354 c. 364,557 303,797 d. 360,000 7. What is the estimated cost of ending inventory using the average cost retail? 713,542 c. 384,000 389,189 d. 324,324

Q: Hoover Co. uses the retail inventory method. The following information is available for the current…

A: a. Compute the total cost of ending inventory under lower of average cost or market method:

Q: ONETTE Company uses the FIFO approach in stimating its inventory. The following information is made…

A: The cost of ending inventory is calculated as difference between cost of goods available for sale…

Q: Presented below is information related to Muharraq Company. Cost $484,000 Retail $500,000 Beginning…

A:

Q: Presented below is information related to Manama Company Cost $550,000 2,100,000 Retail $600,000…

A:

Q: The following information for Darla Corporation is available: Branch Books Home Office Books…

A: working note 1.Realized gross profit = shipments to branch - allowance for overvaluation of branch…

Q: ABC Co. has the following information: Inventory, beg. 80,000 Inventory, end. 128,000 Purchases…

A: Cost of sales refers to the total amount incurred by an entity for producing the product and selling…

Q: The following information is available: Cost of goods sold $1,000,000 Sales $500,000 Sales…

A: Ending Inventory = Cost of Goods Sold + Gross profit - Net Sales   Note : Net Sales = Sales - Sales…

Q: Presented below is information taken from ABC Company for the three months ended March 31: Cost…

A: Cost-to retail ratio method: It is a method of accounting which is most commonly used by retailers…

Q: Presented below is information related to Sheffield Company.     Cost   Retail Beginning…

A: Ending inventory is the amount of closing inventory remained unsold at the end of accounting period.

Q: Presented below is information taken from ABC Company for the three months ended March 31: Cost…

A: Cost-to retail ratio method: It is a method of accounting which is most commonly used by retailers…

Q: Presented below is information pertaining to ABC Co.:   Cost Retail Inventory, January 1 21,750…

A: FIFO cost method- It is a method to calculate cost of inventory of the entity. In it, the goods…

Q: The records of Marigold's Boutique report the following data for the month of April. $89,500…

A: Cost to retail ratio = $78,599 / $148,300                                = 53%

Q: Glamor Company provided the following data: Beginning inventory Cost 500,000 770,000 Selling price…

A: Inventory valuation method include: FIFO Method LIFO Method Average cost method FIFO Method - As…

Q: Drake Corporation had the following amounts, all at retail: Beginning inventory $  3,600…

A: Ending inventory is a common financial metric measuring the final value of goods still available for…

Q: Carmela Company used the conservative retail inventory method. The following information relating to…

A: Cost to Retail Inventory In the cost to retail inventory method while calculating the ending…

Q: he following information is available for Anderson Company:                   Sales…

A: Cost of goods sold means the cost  incurred on the goods which has been sold out. Cost of goods sold…

Q: Presented below is information pertaining to ABC Co.:   Cost Retail Inventory, January 1 21,750…

A: The method of costing inventory where the retail cost ratio is to be obtained in order to have the…

Q: Cayden Company provided the following information: Inventory, January 1 Cost P350,000 Retail 650,000…

A: The approach in which the inventory which is purchased at the beginning would be sold first followed…

Q: Empress Company used the retail inventory method to approximate the ending inventory. The following…

A: Retail inventory method is used by the retail operations like department stores to value the…

Q: Empress Company used the retail inventory method to approximate the ending inventory. The following…

A: FIFO:-FIFO means first in first out basis. It means an inventory which comes earlier is sold out…

Q: Compute for the cost of ending inventory using average cost retail method. " The following…

A: Inventory that is left after the sale is known as ending inventory.

Q: The financial statements for World Company show the following:   Cost of goods sold, $728,000.…

A: Formula: Cash paid to suppliers = Cost of goods sold + Increase in inventory - increase in accounts…

Q: Boyne Inc. had beginning inventory of $12,000 at cost and $20,000 at retail. Net purchases were…

A: Working: Cost to retail Percentage = Goods Available for sale (before MarkDowns) at cost / Goods…

Q: he following information was developed for Oriole Department Store:     At Cost   At Retail…

A:

Q: Calculate inventory turnover at cost (to nearest tenth):   Ending inventory $35,000   Beginning…

A: Inventory turnover = Cost of goods sold / Average inventory where, Average inventory  = (Beginning…

Q: The ABC Boutique had the following information at June 30, 20X1:     Purchases, P180,000…

A: >Gross Profit is the excess of Net Sales over Cost of Goods Sold. >Also, if we deduct the…

Q: Crosby Department Store estimates inventory by using the retail inventory method. The following…

A:

Q: 16. Given the following information, calculate the gross margin %: Retail Cost $144,900.00…

A: Retail Inventory Method In the Retail Inventory method which given the details of the cost and…

Q: Presented below is information related to XYZ Company. Cost Retail Beginning inventory Purchases €…

A: Solution:- Calculation of the ending inventory by the conventional retail inventory method as…

Q: The following data is for Atlantis Merchandising, which uses a periodic inventory system: Sales…

A: The cost of goods available for sale includes beginning inventory, net purchases, and freight…

Q: question

A: The gross profit can be referred to as the profit which the company makes after subtracting all the…

Q: Presented below is information related to Waveland Inc.      Cost    Retail Inventory, 12/31/20…

A:

Q: Presented below is information related to Sheffield Company.     Cost   Retail Beginning…

A: Sheffield Company : S.no   Cost ($) Retail ($) 1 Beginning Inventory 374,710 283,000 2…

Q: Presented below is information related to Kuchinsky Company. Cost Retail Beginning inventory 280,000…

A: In conventional retail method, the inventory cost and retail prices have a relationship. It is…

Q: SMCC Retail Corp had the following info: Beg inventory @ cost = $400,000, @ retail =$790,000 Net…

A: In the given question, the ending inventory will be determined using the retail inventory method.…

Q: Cynosure Company provided the following data: Cost Retail 340,000 4,500,000 100,000 150,000 90,000…

A: The retail inventory method is one of the accounting technique which is used to estimate the value…

Q: Presented below is information related to Marin, Inc. Cost Retail Beginning inventory $ 527,000 $…

A: The value of products still available for sale and kept by a corporation at the end of an accounting…

Q: The home office ships merchandise to the branch at 25 percent above cost. If the balance before…

A: Particulars   Amount Inter-company inventory profit before closing   66,000  Less: Inter-company…

Q: Cayden Company provided the following information: Inventory, January 1 Cost P350,000 Retail 650,000…

A: Retail inventory method…

Q: Presented below is information related to Manama Company. Cost Retail $600,000 3,700,000 170,000…

A: Working note :- 1)  computation of Ending inventory at cost :- Total cost as per cost inventory…

Q: Presented below is information related to Stellar Company. Cost Retail Beginning inventory $53,940…

A: Formula: Cost to retail percentage = ( Total cost / Retail value ) x 100

Q: Presented below is information related to Mantle Company.   Cost Retail  Beginning inventory $…

A: Net markup = $23,750 - $3,750 = $20,000 Net markdown = $8,750 - $1,250 = $7,500     Cost  Retail…

Q: Presented below is information related to Kingbird, Inc.     Cost   Retail Beginning inventory…

A: Working Note: Cost to retail ratio = Cost of goods available for sale at Cost / Cost of goods…

Q: Selected data on inventory, purchases, and sales for Celebrity Tan Co. and Ranchworks Co. are as…

A: In the given question, we are provided with inventory, purchase and sales data at both cost as well…

Q: Presented below is information related to XYZ, Inc. Cost Retail Beginning inventory Purchases $…

A: The retail inventory method is used by the retailers in case of resale of inventory.

Q: Selling price 2,000,000 3,000,000 Materials and conversion costs 1,500,000 1,800,000 General…

A: If the individual approach is taken the NRV of both the products will be calculated separately and…

Q: Hoover Co. uses the retail inventory method. The following information is available for the current…

A: What is meant by Cost to retail ratio? When total cost of goods sold is divided by the retail value…

Q: Pertaining below is information pertaining to Polyphemos Corporation: Cost P 24,000 190,000 26,000…

A: In the Average cost method of inventory valuation, the Cost-to-retail percentage is computed for all…

Q: Consider the following information for costing purposes: Sales P80,000; Opening Inventory P10,000;…

A: Cost of goods sold in the business means total cost of goods that are being sold to the ultimate…

Q: ABC Groceries provided the following information: Cost Retail Beginning inventory 555,200 945,000…

A: Inventory valuation is done through various methods such as the first-in-first-out method (fifo),…

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.