The inventory of Swifty Company was destroyed by fire on March 1. From an examination of the accounting records, the following data for the first 2 months of the year are obtained: Sales Revenue $53,000, Sales Returns and Allowances $1,000, Purchases $34,000, Freight-In $1,300, and Purchase Returns and Allowances $1,500. Determine the merchandise lost by fire, assuming:       A beginning inventory of $20,000 and a gross profit rate of 32% on net sales. Estimated cost of merchandise lost   $enter the Estimated cost of merchandise lost in dollars

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Q: On February 26 a hurricane destroyed the entire inventory stored in a warehouse owned by the…

A: Cost of inventory destroyed can be found out by applying the gross profit ratio on sale and finding…

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A: Average Cost of Inventory Valuation System:-This is a method of computing inventory by dividing…

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A: Gross profit is the sales revenue which is over and above cost of goods sold. Cost of goods sold…

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A: Gross Profit Method:   Under this method, the beginning inventory is added to the net purchases…

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A: Given transactions between Nov 1 and Nov 4 are: 1 Goods costing $38,400 were received from…

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A:

Q: On March 15, a fire destroyed MyCompany's entire retail inventory. The inventory on hand as of…

A: Cost of goods sold = Beginning inventory + Purchases + Freight in - Closing inventory

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A: Gross profit means the difference between the sale revenue and cost of production. Sale means the…

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A: Formula: Amount of loss = Ending inventory - Undamaged inventory - Net realizable value of damaged…

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A: Cost of Goods sold = Sales - Gross profit =$8,200,000-8,200,000*20%  = $6,560,000

Q: On Vincent Inc.'s 2nd year of operation, the owner noticed a possible theft of its inventories. The…

A: Loss by theft is the loss of those inventory from warehouse which are stolen by someone in the…

Q: The ABC Company had its entire inventory destroyed when a fire swept through the company's…

A: Inventory valuation is a technique that is used by companies to find out the value of the ending…

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Q: On June 19, 20X0, a fire destroyed the entire uninsured merchandise inventory of the ABC…

A: Cost of goods sold means the cost incurred on the goods which has been sold including all direct…

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A: The inventory valuation method used to evaluate the closing inventory and cost of goods sold. In…

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A:

Q: On September 22, 2016, a flood destroyed the entire merchandise inventory on hand in a warehouse…

A: Gross profit method:

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A: The gross profit approach is a method of determining the volume of finishing inventory in a given…

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Q: For numbers 10-12: Layla Company reported that a flood recently destroyed many of the financial…

A: The question is related to Inventory valuation as the details regarding closing stock, Cost of goods…

Q: Company A reported that a flood recently destroyed many of their financial records. The entity used…

A: Ending inventory may be defined as the balance of inventory in the hands of company at the end of…

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A: Loss: It is an excess of expenses over firm revenue from single or multiple transactions that arise…

Q: Blue Spruce Corporation's March 31 inventory was destroyed by fire. January 1 inventory was…

A: We assume that all the inventory of 31 March was destryed by the fire.

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Q: On April 10, 2022, fire damaged the office and warehouse of Sheffield Company. Most of the…

A: Cash sales / purchases are where cash is out-rightly paid or received  Credit sales / purchases on…

Q: On 1 September 20x6, a business had inventory of $380,000. During the month, sales totalled $650,000…

A: We have the following information: Opening Inventory: $380,000 Sales: $650,000 Purchases: $480,000…

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A: Step 1: Calculate the cost of goods sold.

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A: Income statement: This statement shows the income earned and loss incurred by the organization in…

Q: estimated cost of merchandise inventory destroyed by fire

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Q: On June 19, 20X0, a fire destroyed a fraction of the uninsured merchandise inventory of the ABC…

A:

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A: Loss by Fire - Loss by fire or any other natural calamities is an extraordinary loss for the…

Q: On October 31, 2010, a flood at Pamela Company’s only warehouse caused severe damage to its entire…

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Q: On 1 September 20X6, a business had inventory of $380,000. During the month, sales totalled…

A: We have the following information On 1 September 20X6, a business had inventory of $380,000 During…

Q: On August 31, a flood at Lordgin Company's only warehouse caused severe damage to its entire…

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Q: .  Northstar Sales Corp. was organized on January 1, 2001. On December 31, 2002, the company lost…

A: In this case to compute the loss inventory due to fire by using the gross profit method. To…

Property Insurance

Property insurance protects property from unforeseeable loss or damage and covers property owners' liability. Property insurance provides financial compensation to the property owner or renter in the event of damage or theft, as well as to someone other than the owner or renter if that person is injured on the property. Property insurance covers all risks of damage caused by theft, fire, flood, cyclones, lighting, and natural calamities, among other things. The primary goal of property insurance is to require the property owner to cover the loss. A monthly premium is paid to the insurance company, and in exchange, the insurance company pays for damage based on the agreement stated in the policy. Property insurance protects assets such as a vehicle, auto, car, rental home, house, and valuable property.