On September 28, 2019, a fire destroyed the entire merchandise inventory of the Alfonso Corporation. The following information is available: Sales, January 1 – September 28 2019 P 540,000 Inventory, January 1, 2019 P 150,000 Merchandise purchases, January 1 – September 28, 2019 (including P60,000 of goods in transit on September 28, 2019, shipped FOB Shipping point) P 465,000 Markup percentage on cost 20% What is the estimated inventory on September 28, 2019 immediately prior to the fire?
On September 28, 2019, a fire destroyed the entire merchandise inventory of the Alfonso Corporation. The following information is available: Sales, January 1 – September 28 2019 P 540,000 Inventory, January 1, 2019 P 150,000 Merchandise purchases, January 1 – September 28, 2019 (including P60,000 of goods in transit on September 28, 2019, shipped FOB Shipping point) P 465,000 Markup percentage on cost 20% What is the estimated inventory on September 28, 2019 immediately prior to the fire?
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
Chapter8: Inventories: Special Valuation Issues
Section: Chapter Questions
Problem 12P
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On September 28, 2019, a fire destroyed the entire merchandise inventory of the Alfonso Corporation. The following information is available:
Sales, January 1 – September 28 2019 P 540,000
Inventory, January 1, 2019 P 150,000
Merchandise purchases, January 1 – September 28, 2019 (including P60,000 of goods in transit on September 28, 2019, shipped FOB Shipping point) P 465,000
Markup percentage on cost 20%
What is the estimated inventory on September 28, 2019 immediately prior to the fire?
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