The following joint operations account reflects the transactions of the arrangement of ABC, DEF, GHI as recorded by each operator. Merchandise-DEF Purchase-ABC Merchandise -GHI Selling Expense-ABC Freight-ABC INVS SAPL JOINT OPERATION VERSIONES 1,912,500 4,590,000 787,500 272,250 1,575,000 945,000 90,000 78,750 Cash Sales- ABC Merchandise-DEF Cash Sales- ABC It was agreed that profit or losses are to be as follows 20%,30% and 50% for ABC, DEF and GHI respectively. Compute for the amount to be received by DEF in the final settlement. 1911
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- The following are the transactions of a joint operation formed by A, B and C during a year: A contributed cash of P400 and merchandise costing P800. B contributed merchandise costing P1,600. Freight-in paid by B is P80. C made purchases amounting to P400 using the cash contributed by A. C paid expenses of P800 using its own cash. C made total sales of P3,200. All the merchandise was sold except one-half of those contributed by B. C is appointed as the manager of the joint operation. As compensation, C is entitled to a P120 salary plus bonus of 25% on profit after salary and bonus. Interest of 10% per annum is allowed to A and B's capital contributions. C is charged for the cost of any unsold inventory. Profit or loss after necessary adjustments shall be divided equally. How much is the profit or loss after salaries but before bonus of the joint operation?The following are the transactions of a joint operation formed by A, B and C during a year: A contributed cash of P400 and merchandise costing P800. B contributed merchandise costing P1,600. Freight-in paid by B is P80. C made purchases amounting to P400 using the cash contributed by A. C paid expenses of P800 using its own cash. C made total sales of P3,200. All the merchandise was sold except one-half of those contributed by B. C is appointed as the manager of the joint operation. As cornpensation, C is entitled to a P120 salary plus bonus of 25% on profit after salary and bonus. Interest of 10% per annum is allowed to A and B's capital contributions. C is charged for the cost of any unsold inventory. Profit or loss after necessary adjustments shall be divided equally. How much is the profit or loss after salaries but before bonus of the joint operation?for the following intercompany transaction state the principle to be used in accounting for intercompany gains on current and future consolidated income statements: a. Gains on merchandise sales
- The following information is given regarding SG Company: • The reciprocal account in the separate income statement of the home office amount to P225,000. • During the year 2020 (current year), the home office bills merchandise to the branch at 215%of cost. • The beginning inventory of the branch is P249,375. • During the 2020, the branch purchased from vendors merchandise amounting to P150,000. • The ending inventory of the branch as shown in the combined financial statements is P267,125. • The allowance for overvaluation before adjustment is P320.000. • The beginning inventory of the branch from the home office at cost is P153,125. • The unrealized profit at the end of the year must be decreased by P55,000. What is the cost of goods sold in the combined financial statements at the end of 2020?Record the transactions for Donaldson Inc. in the proper subsidiary ledger. Jul. 1 Sold 50 items to Palm Springs Inc. and offered terms of 2/10, n/30, $4,000 on July 1, and issued invoice #12 on account number #312 Jul. 5 Sold 20 thing-a-jigs to Miami Inc. for $2,150 cash on July 5, and issued invoice #13 Jul. 8 Sold 30 what-is to Smith Mfg. for $5,000 and offered terms of 2/10, n/30; issued invoice #14 on account number #178 Jul. 9 Received payment from Palm Springs Inc. Jul. 22 Received payment from Smith Mfg. after expiration of the discount periodWhen the Company Trades with an Investment in Associate, the Reported net income of the Parent Company should report the Intercompany transaction as? (1 Point) -As Inventory -An eliminated Entry -As Expense -As income
- The following information is given regarding Dyosa Company:• The reciprocal account in the separate income statement of the home office amount to P225,000.• During the year 2020 (current year), the home office bills merchandise to the branch at 215%of cost.• The beginning inventory of the branch is P249,375.• During the 2020, the branch purchased from vendors merchandise amounting to P150,000.• The ending inventory of the branch as shown in the combined financial statements is P267,125.• The allowance for overvaluation before adjustment is P320.000.• The beginning inventory of the branch from the home office at cost is P153,125.• The unrealized profit at the end of the year must be decreased by P55,000. 1. What is the cost of goods sold in the combined financial statements at the end of 2020? 2. what is the total goods available for sale recorded in the branch's books at the end of 2020?SCP Corporation purchased inventory on account from OBP Corporation . Which of the following occurred first? Select one : O a. A value chain analysis of the transaction O b The first step in OBP's sales / c * o collection process c. Management approval of the transaction Od. The first step in P^ prime s acquisition /payment processif the individual subsidiary ledger accounts contained the following data: Cadence Company, Vendor, $148, credit balance Franklin Enterprises, Customer, $311, debit balance Marcelo Construction, Client, $413, debit balance Peyton Supplies, Supplier, $121, credit balance The accounts receivable (A/R) control account and the accounts payable (A/P) control account balances would be: a. A/R, $269; A/P, $724 b. A/R, $724; A/P, $269 c. A/R, $311; A/P, $413 d. A/R, $121; A/P, $148
- ASAP. No need for thorough explanations as long as there is a solution. Thanks! A, B, and C formed a joint operation. On the joint operation’s completion date, the books of A, the appointed manager, show the following account balances: Debit Credit JO – Cash 80 Account with B 60 Accounting with C 88 The cost of unsold inventory is ₱72. The joint operation’s profit is ₱44. How much is the balance of the joint operation account before distribution of profit? __________________________Exchange of Assets Two independent companies, Denver and Bristol, each own awarehouse, and they agree to an exchange in which no cash changes hands. Thefollowing information for the two warehouses is available:Required:1. Assuming the exchange has commercial substance, prepare journal entriesfor Denver and Bristol to record the exchange.2. Assuming the exchange does not have commercial substance, prepare journalentries for Denver and Bristol to record the exchange.3. Next Level What is the justification of accounting for the exchange differentlywhen the exchange has commercial substance versus when it does not?The sale of inventory items by a parent company to an affiliated company a. enters the consolidated revenue computation only if the transfer was the result of arm's length bargaining. b. affects consolidated net income under a periodic inventory system but not under a perpetual inventory system. c. does not result in consolidated income until the merchandise is sold to outside entities. d. does not require a working paper adjustment if the merchandise was transferred at cost.