Financial Accounting: Business Process Approach, Student Value Edition Plus New Mylab Accounting With Pearson Etext -- Access Card Package (3rd Edition)
3rd Edition
ISBN: 9780132962667
Author: Jane L. Reimers
Publisher: PEARSON
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Textbook Question
Chapter 5A, Problem 6PB
Paige’s Office Paper Company uses a perpetual inventory system, so the cost of goods sold is recorded and the inventory records are updated at the time of every sale. The company’s accounting records showed the following related to September 2009 transactions:
On September 30, 2009, Paige conducted a physical count of its inventory and discovered there were actually 1,900 units of inventory on hand.
Requirements
- 1. Using the information from the physical count, correct Paige’s Office Paper’s cost of goods sold for September.
- 2. How would this correction change the financial statements for the month?
- 3. What are some possible causes of the difference between the inventory amounts in the company’s accounting records and the inventory amount from the physical count?
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Chapter 5A Solutions
Financial Accounting: Business Process Approach, Student Value Edition Plus New Mylab Accounting With Pearson Etext -- Access Card Package (3rd Edition)
Ch. 5A - Berry Corporation miscounted the ending inventory...Ch. 5A - How would each of the following inventory errors...Ch. 5A - How would each of the following inventory errors...Ch. 5A - Ians Small Appliances reported cost of goods sold...Ch. 5A - Tire Pro Companys records reported the following...Ch. 5A - Matrix Company uses a periodic, weighted average...Ch. 5A - Paiges Office Paper Company uses a perpetual...
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