PROBLEM 1: AAA Company provided you with the following data with respect to its inventory: Items counted at the warehouse P 8,000,000 Items excluded from the count segregated per sales contract 200,000 Items in the receiving department, returned by customer and in good condition Items ordered and in the receiving department, invoice not received Items ordered, invoice received, but goods not received; shipping term was FAS (free alongside) Items shipped today, invoice mailed, CIF (cost, insurance, freight) Items shipped today, invoice mailed, ex-ship Items currently being used for window display Items on counter for sale 100,000 800,000 600,000 500,000 300,000 400,000 1,600,000 Items in the receiving department, refused by Ljubljana Company because of damage Items included in the count, damaged and 360,000 unsalable 100,000 Items in the shipping department awaiting shipment 500,000 What is the correct amount of inventory to be presented in AAA's statement of financial position? 1.

PROBLEM 1: AAA Company provided you with the following data with respect to its inventory: Items counted at the warehouse P 8,000,000 Items excluded from the count segregated per sales contract 200,000 Items in the receiving department, returned by customer and in good condition Items ordered and in the receiving department, invoice not received Items ordered, invoice received, but goods not received; shipping term was FAS (free alongside) Items shipped today, invoice mailed, CIF (cost, insurance, freight) Items shipped today, invoice mailed, ex-ship Items currently being used for window display Items on counter for sale 100,000 800,000 600,000 500,000 300,000 400,000 1,600,000 Items in the receiving department, refused by Ljubljana Company because of damage Items included in the count, damaged and 360,000 unsalable 100,000 Items in the shipping department awaiting shipment 500,000 What is the correct amount of inventory to be presented in AAA's statement of financial position? 1.

Name: PROBLEM 1: AAA Company provided you with the following data with resp
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Description: PROBLEM 1: AAA Company provided you with the following data with respect to its inventory:Items counted at the warehouseP 8,000,000Items excluded from the count segregated persales contract200,000Items in the receiving department, returned bycustome

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter5: Inventories And Cost Of Goods Sold

Section: Chapter Questions

Problem 5.8E

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Using the information provided in RE8-4, prepare the journal entry to record the write-down of inventory for Paul Corporation assuming that it uses the allowance method instead of the direct method. Paul Corporation uses FIFO and reports the following inventory information: Assuming Paul uses a perpetual inventory system and the direct method, prepare the journal entry to record the write-down if inventory.
Inventoriable Costs During the first month of operations, ABC Company incurred the following costs in ordering and receiving merchandise for resale. No inventory was sold. Required What amount do you recommend the company record as merchandise inventory on its balance sheet? Explain your answer. For any items not to be included in inventory, indicate their appropriate treatment in the financial statements.
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Perpetual inventory using LIFO Assume that the business in Exercise 6-3 maintains a perpetual inventory system, costing by the last-in, first-out method. Determine the cost of goods sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 4.
Assume that the business in Exercise 7-3 maintains a perpetual inventory system, costing by the last-in, first-out method. Determine the cost of merchandise sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 5.
Calculate the cost of goods sold dollar value for A74 Company for the sale on March 11, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average (AVG).
Perpetual inventory using FIFO Assume that the business in Exercise 6-5 maintains a perpetual inventory system, costing by the first-in, first-out method. Determine the cost of goods sold for each sale and the inventory balance after each sale, presenting the data in the form illustrated in Exhibit 3.
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Calculate the cost of goods sold dollar value for B74 Company for the sale on November 20, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average (AVG).
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