Net Sales Gross Sales Less: Sales Returns & Allowances P. 54,000 Sales Discounts 19,200 Net Sales Less: Cost of Sales Inventory, 1/1/21 225,000 Add: Net Purchases Purchases P 890,200 Less: Purchases Returns & Allow. P 31,000 Purchase Discounts 12,200 'Add: Freight In 12,000 Net Purchases 859,000 Goods Available for Sales P 1,084,000 Less: Inventory, 12/31/21

Net Sales Gross Sales Less: Sales Returns & Allowances P. 54,000 Sales Discounts 19,200 Net Sales Less: Cost of Sales Inventory, 1/1/21 225,000 Add: Net Purchases Purchases P 890,200 Less: Purchases Returns & Allow. P 31,000 Purchase Discounts 12,200 'Add: Freight In 12,000 Net Purchases 859,000 Goods Available for Sales P 1,084,000 Less: Inventory, 12/31/21

Survey of Accounting (Accounting I)

8th Edition

ISBN:9781305961883

Author:Carl Warren

Publisher:Carl Warren

Chapter4: Accounting For Retail Operations

Section: Chapter Questions

Problem 4.1P: Purchase-related transactions The following selected transactions were completed by Epic Co. during...

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True or False FE11An increase in Purchases Discounts is made by debiting the account FE12Net sales and gross sales are the same - FE13Sales Discounts is a revenue account with a debit balance -FE14Sales Returns and Allowances increase with a debit - FE15F.O.B. shipping point means that the seller of the goods is responsible for covering the shippingcosts -
baby Company provided the followingdata:Items included in thebodega 4,000,000Items included in the specificallysegregated per sale oncontract 100,000Items in receiving department,returned by customer, in goodcondition 50,000Items ordered and in thereceiving department 400,000Items ordered, invoice receivedbut goods not received. Freightis on account on seller 300,000Items shipped today, invoicemailed, FOB shipping point 250,000Items shipped today, invoicemailed, FOB destination 150,000Items currently being used forwindow display 200,000Items on counter for sale 800,000Items in receiving department,refused because of damage 50,000Items in the shippingDepartment 250,000 How much is the cost of ending inventory?
Purchase-related transactions The following selected transactions were completed by Epic Co. during August of the curr ent year: Aug. 3. Purchased merchandise on account for $33400, terms FOB destination. 2/10. n/30. 9. Issued debit memorandum for $2500 ($2450 net of 2% discount) for merchandise from the August 3 purchase that was damaged in shipment. 10. Purchased merchandise on account, $25,000, terms FOB shipping point, n/com. Paid $600 cash to the freight company for delivery of the merchandise. 13. Paid for invoice of August 3, less debit memorandum of August 9 31. Paid for invoice of August 10. Instructions Illustrate the effects of each of the preceding transactions on the accounts and financial statements of Epic Co. Identify each transaction by date.
Sales-related transactions The- following selected transactions were completed by Affordable Supplies Co., which sells supplies primarily to wholesalers and occasionally to retail customers. Jan. 6. Sold merchandise on account, $14,000. terms FOB shipping point, n/com. The cost of merchandise sold was $8,400. 8. Sold merchandise on account. $20,000. terms FOB destination. 1/10. n/30. The cost of merchandise sold was $14,000. 16. Sold merchandise on account, $19-500. terms FOB shipping point, n/30. The cost of merchandise sold was $11,700. 18. Received check for amount due for sale on January 8. 19. Issued credit memorandum for $4,500 for merchandise returned from sale on January 16. The cost of the merchandise returned was $2,700. 26. Received check for amount due for sale on January 16 less credit memorandum of January 19. 31. Paid Cashell Delivery Service $3,000 for merchandise delivered during January to customers under shipping terms of FOB destination. 31. Received cheek for amount due for sale of January 6. Instructions Illustrate the effects of each of the preceding transactions on the accounts and financial statements of Affordable Supplies Co. Identify each transaction by date.
Presented below is information related to Sage Inc. Cost Retail Inventory, 12/31/20 $245,700 $384,400 Purchases 818,428 1,450,600 Purchase returns 61,000 79,700 Purchase discounts 18,100 — Gross sales revenue — 1,411,200 Sales returns — 97,900 Markups — 118,900 Markup cancellations — 40,400 Markdowns — 44,800 Markdown cancellations — 20,100 Freight-in 41,900 — Employee discounts granted — 8,100 Loss from breakage (normal) — 4,600 Assuming that Sage Inc. uses the conventional retail inventory method, compute the cost of its ending inventory at December 31, 2021.
For each of the following Mary Paz Abad Retailers purchases, assume that credit terms are 2/10n/30 and that any purchase returns was known before Mary Paz Abad Retailers made the payments.Freight Prepaid PurchasePurchases (by seller) Returnsa. P12,000 FOB Shipping Point 1,000 P3,000b. 24,000 FOB Destination 2,400 2,000c. 28,000 FOB Shipping Point 4,000Shipping TermsPage 1 of 6d. 40,000 FOB Shipping Point 3,000Required:a. Determine the cash discount available.b. Determine the cash remitted if payment is made within the discount period.
31 - _____________________ / _____________________153 COMMERCIAL GOODS XX191 DEDUCTIBLE VAT XX320 SELLERS XX_____________________ / _____________________Which of the following belongs to the above journal entry?A) Returns B) Buy Discounts C) Purchase of Goods on Credit D) Sales Returns E) Sales of Goods on Credit
1. Calculate the missing information for the purchase. Item SellingPrice SalesTaxRate SalesTax(in $) ExciseTax Rate ExciseTax TotalPurchase Price(in $) Sofa $350.00 5 $ 0 0 $
Sold goods to G George, invoice detailed 60 items @ R80 exclusive per item) Mark up is 150%. Calculate the sales Debtors Control account of the Debtors Journal? what is the Cost Of Sales?
Bee's purchases per purchase invoice is ₱150,000. The purchase discount is 2/10, n/30. Freight is ₱500, FOB shipping point, freight collect. The net purchase under the net method amounts to: [A]147,000 [B]148,500 [C]147,500 [D]150,500
Required information CP6-3 Recording Cash Sales, Credit Sales, Sales Returns, and Sales Allowances and Analyzing Gross Profit Percentage [LO 6-4, LO 6-6] [The following information applies to the questions displayed below.] Campus Stop, Inc., is a student co-op. Campus Stop uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis: a. Sold merchandise for cash (cost of merchandise $152,590). $ 276,700 b. Received merchandise returned by customers as unsatisfactory (but in perfect condition) for cash refund (original cost of merchandise $810). 1,610 c. Sold merchandise (costing $9,450) to a customer on account with terms n/30. 21,000 d. Collected half of the balance owed by the customer in (c). 10,500 e. Granted a partial allowance relating to credit sales the customer in (c) had not yet paid. 1,820 CP6-3 Part 1 Required: Compute Net Sales and Gross Profit for Campus Stop.
Required information CP6-3 Recording Cash Sales, Credit Sales, Sales Returns, and Sales Allowances and Analyzing Gross Profit Percentage [LO 6-4, LO 6-6] [The following information applies to the questions displayed below.] Campus Stop, Inc., is a student co-op. Campus Stop uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis: a. Sold merchandise for cash (cost of merchandise $152,590). $ 276,700 b. Received merchandise returned by customers as unsatisfactory (but in perfect condition) for cash refund (original cost of merchandise $810). 1,610 c. Sold merchandise (costing $9,450) to a customer on account with terms n/30. 21,000 d. Collected half of the balance owed by the customer in (c). 10,500 e. Granted a partial allowance relating to credit sales the customer in (c) had not yet paid. 1,820 CP6-3 Part 4 Campus Stop is considering a contract to sell merchandise to a campus…