Cornerstones of Financial Accounting
4th Edition
ISBN: 9781337690881
Author: Jay Rich, Jeff Jones
Publisher: Cengage Learning
expand_more
expand_more
format_list_bulleted
Concept explainers
Videos
Textbook Question
Chapter 6, Problem 81.3C
Comparative Analysis: Under Armour, Inc., vs. Columbia Sportswear
Refer to the 10-K reports of Under Armour, Inc., and Columbia Sportswear that are available for download from the companion website at CengageBrain.com.
Required:
What amount does Under Armour report for cost of goods sold for the years ending December 2016, 2015, and 2014? What amount does Columbia report for cost of goods sold for the years ending December 2016, 2015, and 2014?
Expert Solution & Answer
Trending nowThis is a popular solution!
Students have asked these similar questions
Prepare a schedule of cost of goods manufactured for Gourmet Bones for the year ended December 31 2018.
Prepare an income statement for Gourmet Bones for the year ended December 31 2018.
How does the format of the income statement for Gourmet Bones differ from the income statement of merchandiser?
Gourmet Bones manufactured 17,900 units of its product in 2018, compare the company's unit product cost for the year, rounded to the nearest cent.
Sunland Company uses the FIFO method for internal reporting purposes and LIFO for external reporting purposes. The balance in the LIFO Reserve account at the end of 2020 was $277000. The balance in the same account at the end of 2021 is $419000. Sunland’s Cost of Goods Sold account has a balance of $2110000 from sales transactions recorded during the year. What amount should Sunland report as Cost of Goods Sold in the 2021 income statement?
YELLOW Corporation sold selected merchandise on a consignment basis during 2020. Yellow's accounting records show the following information:*
What amount should YELLOW report as cost of goods sold in its 2020 income statement?
₱ 1,094,000
₱ 1,014,000
₱ 1,024,000
₱ 1,354,000
Chapter 6 Solutions
Cornerstones of Financial Accounting
Ch. 6 - Prob. 1DQCh. 6 - Describe the types of inventories used by...Ch. 6 - Compare the flow of inventory costs between...Ch. 6 - What are the components of cost of goods available...Ch. 6 - How is cost of goods sold determined?Ch. 6 - How do the perpetual and periodic inventory...Ch. 6 - Why are perpetual inventory systems more expensive...Ch. 6 - Prob. 8DQCh. 6 - Prob. 9DQCh. 6 - Prob. 10DQ
Ch. 6 - Prob. 11DQCh. 6 - Why do the four inventory costing methods produce...Ch. 6 - The costs of which units of inventory (oldest or...Ch. 6 - If inventory prices are rising, which inventory...Ch. 6 - How would reported income differ if LIFO rather...Ch. 6 - Prob. 16DQCh. 6 - Why are inventories written down to the lower of...Ch. 6 - What is the effect on the current period income...Ch. 6 - What do the gross profit and inventory turnover...Ch. 6 - Prob. 20DQCh. 6 - How does an error in the determination of ending...Ch. 6 - ( Appendix 6A) What accounts are used to record...Ch. 6 - ( Appendix 6B) For each inventory costing method,...Ch. 6 - If beginning inventory is $20,000, purchases are...Ch. 6 - Which of the following transactions would not...Ch. 6 - Briggs Company purchased $15,000 of inventory on...Ch. 6 - Prob. 4MCQCh. 6 - U-Save Automotive Group purchased 10 vehicles...Ch. 6 - Refer to the information for Morgan Inc. above. If...Ch. 6 - Prob. 7MCQCh. 6 - Refer to the information for Morgan Inc. above. If...Ch. 6 - When purchase prices are rising, which of the...Ch. 6 - Prob. 10MCQCh. 6 - Which of the following statements regarding the...Ch. 6 - Which of the following statements is true with...Ch. 6 - An increasing inventory turnover ratio indicates...Ch. 6 - Ignoring taxes, if a company understates its...Ch. 6 - Prob. 15MCQCh. 6 - ( Appendix 6B) Refer to the information for Morgan...Ch. 6 - ( Appendix 6B) Refer to the information for Morgan...Ch. 6 - Prob. 18MCQCh. 6 - Prob. 19CECh. 6 - Use the following information for Cornerstone...Ch. 6 - Use the following information for Cornerstone...Ch. 6 - Inventory Costing: FIFO Refer to the information...Ch. 6 - Inventory Costing: LIFO Refer to the information...Ch. 6 - Inventory Costing: Average Cost Refer to the...Ch. 6 - Effects of Inventory Costing Methods Refer to your...Ch. 6 - Lower of Cost or Market The accountant for Murphy...Ch. 6 - Inventory Analysis Singleton Inc. reported the...Ch. 6 - Inventory Errors McLelland Inc. reported net...Ch. 6 - Prob. 29CECh. 6 - ( Appendix 6B) Inventory Costing Methods: Periodic...Ch. 6 - ( Appendix 6B) Inventory Costing Methods: Periodic...Ch. 6 - ( Appendix 6B) Inventory Costing Methods: Periodic...Ch. 6 - Prob. 33BECh. 6 - Prob. 34BECh. 6 - Inventory Costing Methods Refer to the information...Ch. 6 - Effects of Inventory Costing Methods Refer to the...Ch. 6 - Lower of Cost or Market Garcia Company uses FIFO,...Ch. 6 - Inventory Analysis Callahan Company reported the...Ch. 6 - Prob. 39BECh. 6 - ( Appendix 6A) Recording Purchase and Sales...Ch. 6 - ( Appendix 6B) Inventory Costing Methods: Periodic...Ch. 6 - Prob. 42ECh. 6 - Prob. 43ECh. 6 - Perpetual and Periodic Inventory Systems Below is...Ch. 6 - Recording Purchases Compass Inc. purchased 1,250...Ch. 6 - Recording Purchases Dawson Enterprises uses the...Ch. 6 - Recording Purchases and Shipping Terms On May 12,...Ch. 6 - Prob. 48ECh. 6 - Recording Purchases and Sales Printer Supply...Ch. 6 - Inventory Costing Methods Crandall Distributors...Ch. 6 - Inventory Costing Methods On June 1, Welding...Ch. 6 - Financial Statement Effects of FIFO and LIFO The...Ch. 6 - Effects of Inventory Costing Methods Jefferson...Ch. 6 - Inventory Costing Methods Neyman Inc. has the...Ch. 6 - Effects of FIFO and LIFO Sheepskin Company sells...Ch. 6 - Lower of Cost or Market Merediths Appliance Store...Ch. 6 - Lower of Cost or Market Shaw Systems sells a...Ch. 6 - Analyzing Inventory The recent financial...Ch. 6 - Effects of an Error in Ending Inventory Waymire...Ch. 6 - Prob. 60ECh. 6 - ( Appendices 6A and 6B) Recording Purchases and...Ch. 6 - Prob. 62ECh. 6 - ( Appendix 6B) Inventory Costing Methods: Periodic...Ch. 6 - ( Appendix 6B) Inventory Costing Methods: Periodic...Ch. 6 - Applying the Cost of Goods Sold Model The...Ch. 6 - Recording Sale and Purchase Transactions Alpharack...Ch. 6 - Inventory Costing Methods Andersons Department...Ch. 6 - Inventory Costing Methods Gavin Products uses a...Ch. 6 - Lower of Cost or Market Sue Stone, the president...Ch. 6 - Inventory Costing and LCM Ortman Enterprises sells...Ch. 6 - Effects of an Inventory Error The income...Ch. 6 - ( Appendices 6A and 6B) Inventory Costing Methods...Ch. 6 - ( Appendix 6B) Inventory Costing Methods Jet Black...Ch. 6 - Prob. 65BPSBCh. 6 - Recording Sale and Purchase Transactions Jordan...Ch. 6 - Inventory Costing Methods Ein Company began...Ch. 6 - Inventory Costing Methods Terpsichore Company uses...Ch. 6 - Prob. 69BPSBCh. 6 - Prob. 70BPSBCh. 6 - Prob. 71BPSBCh. 6 - ( Appendices 6A and 6B) Inventory Costing Methods...Ch. 6 - ( Appendix 6B) Inventory Costing Methods Grencia...Ch. 6 - Prob. 74.1CCh. 6 - Prob. 74.2CCh. 6 - Prob. 75.1CCh. 6 - Inventory Costing When Inventory Quantities Are...Ch. 6 - Inventory Purchase Price Volatility In 2019, Steel...Ch. 6 - Prob. 77.1CCh. 6 - Prob. 77.2CCh. 6 - Errors in Ending Inventory From time to time,...Ch. 6 - Prob. 78.2CCh. 6 - Prob. 79.1CCh. 6 - Ethics and Inventory An electronics store has a...Ch. 6 - Ethics and Inventory An electronics store has a...Ch. 6 - Prob. 80.1CCh. 6 - Prob. 80.2CCh. 6 - Prob. 80.3CCh. 6 - Prob. 80.4CCh. 6 - Prob. 80.5CCh. 6 - Prob. 80.6CCh. 6 - Comparative Analysis: Under Armour, Inc., vs....Ch. 6 - Comparative Analysis: Under Armour, Inc., vs....Ch. 6 - Comparative Analysis: Under Armour, Inc., vs....Ch. 6 - Prob. 81.4CCh. 6 - Comparative Analysis: Under Armour, Inc., vs....Ch. 6 - Prob. 82.1CCh. 6 - CONTINUING PROBLEM: FRONT ROW ENTERTAINMENT In...Ch. 6 - Prob. 82.3C
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Similar questions
- Comparative Analysis: Under Armour, Inc., vs. Columbia Sportswear Refer to the 10-K reports of Under Armour, Inc., and Columbia Sportswear that are available for download from the companion website at CengageBrain.com. Required: Do Under Armour and Columbia use the lower of cost or market method to account for their inventories? By what amount have they written inventories down in the fiscal year ending December 2016?arrow_forwardThe following data pertain to 2012 activities of Twisp Industries: Use your completed worksheet to determine the firms cost of goods sold for 2012. Remember to change the year in row 24 and to enter new beginning inventory balances. Save the 2012 file as MFG3. Print the worksheet when done. If sales and other expenses were identical in 2011 and 2012, during which year did Twisp earn more income? Why?arrow_forwardCost of Goods Sold, FIFO, and LIFO Kramer began operations early in 2016 and made the following purchases: Kramer used the FIFO method to value its inventory and reported cost of goods sold expense for the year of $4,000. Required Determine the cost of goods sold expense assuming Kramer had used the LIFO method instead of the FIFO method.arrow_forward
- Refer to RE22-2. Assume Heller Company had sales revenue of 510,000 in 2019 and 650,000 in 2020. Prepare Hellers partial income statements (through gross profit) for 2019 and 2020. RE22-2 Heller Company began operations in 2019 and used the LIFO method to compute its 300,000 cost of goods sold for that year. At the beginning of 2020, Heller changed to the FIFO method. Heller determined that its cost of goods sold under FIFO would have been 250,000 in 2019. For 2020, Hellers cost of goods sold under FIFO was 360,000, while it would have been 410,000 under LIFO. Heller is subject to a 21% income tax rate. Compute the cumulative effect of the retrospective adjustment on prior years income (net of taxes) that Heller would report on its retained earnings statement for 2020.arrow_forwardAnalyzing Starbuckss Inventory Disclosures Obtain Starbuckss 2017 annual report either using the Investor Relations portion of its web site (do a Web search for Starbucks investor relations) or go to http://www.sec.gov and click Search for company filings under Filings and Forms (EDGAR). Required: 1. What is the primary cost flow assumption that Starbucks uses: Discuss how the amounts reported under this assumption compare to amounts reported under alternative cost flow assumptions. Explain why you think Starbucks selected this method. 2. What type of inventory systemperpetual or periodicdo you think Starbucks uses? 3. Does Starbucks have any purchase commitments? If so, are they included in inventory? 4. Assume ending inventory for 2016 was 1,306.4 million. Compute the inventory turnover ratio for 2018 and 2017. What is your evaluation of the difference? (Round your answer to two decimal places.) 5. Recreate summary journal entries to record the transactions that affected inventory during 2018. (Assume all inventory purchases were on account.)arrow_forwardCalculate the cost of goods sold dollar value for A65 Company for the month, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for first-in, first-out (FIFO).arrow_forward
- The following data pertains to Omega company for the month of June 2014. Finished goods, June 1, 2014, P290,540 Finished goods, June 30, 2014, P276,760 Cost of goods manufactured, P805,820 Recovery from write-down, P10,720Determine the cost of goods sold to be shown in the statement of comprehensive income ofOmega Company for the month of June 2014.a. P808,880b. P880,880c. P830,320d. P808,080arrow_forwardPlease refer to the picture below for the information. Please show the complete solution and kinldy include label. Thank you so much. Question 1: How much is the amount of "Cost of Goods Sold" to be reported in the 2015 Statement of comprehensive income assuming the company’s policy is to charge loss on inventory write-down to COST OF GOODS SOLD and charge loss on inventory write-down to OTHER EXPENSE, respectively. Question 2: How much is the amount of "Cost of Goods Sold" to be reported in the 2016 Statement of comprehensive income?arrow_forwardAn example should follow the statement of the movement of an item during the month of September 2013September of 2017 as follows:1. On 1/9, the material balance was 300 units, the unit price was 500 dinars2. On 5/9, 50 units were disbursed according to the 60 exchange voucher,3. On 9/8, 100 units were received at a unit price of 600 dinars, according to the 105 purchase list.4- On 9/10, 100 units were disbursed according to the exchange voucher 61.Dr.. On 9/15, the returns of the material from production centers to the warehouse amounted to 20 units of the quantity disbursed on 5/9 according to Return Document No.6- On 20/9, 80 units were disbursed according to the exchange document 62.7. On 9/25, 150 units were disbursed according to the exchange voucher 63.8- On 9/27, 15 units were disbursed according to the 64 exchange document.And on 9/29, 50 units were received, unit price of 800 dinars, according to the purchase list of 15010 On 9/30, 40 units were disbursed according to the…arrow_forward
arrow_back_ios
arrow_forward_ios
Recommended textbooks for you
Cornerstones of Financial AccountingAccountingISBN:9781337690881Author:Jay Rich, Jeff JonesPublisher:Cengage Learning
Intermediate Accounting: Reporting And AnalysisAccountingISBN:9781337788281Author:James M. Wahlen, Jefferson P. Jones, Donald PagachPublisher:Cengage Learning
Financial Accounting: The Impact on Decision Make...AccountingISBN:9781305654174Author:Gary A. Porter, Curtis L. NortonPublisher:Cengage LearningPrinciples of Accounting Volume 1AccountingISBN:9781947172685Author:OpenStaxPublisher:OpenStax College
Cornerstones of Financial Accounting
Accounting
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Cengage Learning
Intermediate Accounting: Reporting And Analysis
Accounting
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:Cengage Learning
Financial Accounting: The Impact on Decision Make...
Accounting
ISBN:9781305654174
Author:Gary A. Porter, Curtis L. Norton
Publisher:Cengage Learning
Principles of Accounting Volume 1
Accounting
ISBN:9781947172685
Author:OpenStax
Publisher:OpenStax College
Chapter 6 Merchandise Inventory; Author: Vicki Stewart;https://www.youtube.com/watch?v=DnrcQLD2yKU;License: Standard YouTube License, CC-BY
Accounting for Merchandising Operations Recording Purchases of Merchandise; Author: Socrat Ghadban;https://www.youtube.com/watch?v=iQp5UoYpG20;License: Standard Youtube License