Which of the following statements appropriately describes attributes of perpetual and periodic inventory systems?
Q: 3) The following is the Balance Sheet of Amutha and Rama sharing profits 3:2, as on 31.3.2015. Balan...
A: A partnership is a kind of business structure in which two or more people agree to carry out commerc...
Q: Multiple choice: 1. Entity A had total assets of ₱120M and total liabilities of ₱80M at the beginnin...
A: Entity A had total assets of ₱120M and total liabilities of ₱80M at the beginning of the period. At ...
Q: Distribution of Profits or Losses Based on Partners' Agreement Pasia, Te, and Ocenar each receive a ...
A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question...
Q: Home Office Branch Sales P 256,000 P 78,500 Purchases from outsiders 210,000 20,000 Shipments to bra...
A: a. Mark up on purchase = (40,000 - 30,000)/40,000 = 25% of Billing price Inventory at cost on Decemb...
Q: From the following particulars prepare a balance sheet for Health and Wellness Hospital as at Decemb...
A: 1. Balance Sheet - This Statement shows the balance of assets liabilities and Equity as at the balan...
Q: 1. Prepare the income statement to reflect lower of cost or net realizable value valuation of the cu...
A: Lower of cost or NRV concept means the inventory should be reported at cost of NRV, whichever is low...
Q: Partners RJ, RS and RX share profit and losses in the ratio 5:3:2. At the end of a very unprofitabl...
A:
Q: During 2023, Lowry Company was used by a competitor for P5,000,000 infringement suit of a trademark....
A: GIVEN During 2023, Lowry Company was used by a competitor for P5,000,000 infringement suit of a tr...
Q: ABC Company uses a job order costing system and the following information is available from the re...
A: The overhead is applied to the production on the basis of predetermined overhead rate. The overhead...
Q: 1. Which of the following would result to total expenses of ₱480,000? A. Total income of ₱630,000 an...
A: Profit: Profit is the money that a firm makes after all of its expenditures have been deducted. From...
Q: determine combined net income (loss) of the home office and the branch for the year 2021.
A: We are given the balances of trading account items for both the branch and the home office. The comb...
Q: Hernandez Company has 560,000 shares of $10 par value common stock outstanding. During the year, Her...
A: Shares outstanding = 560,000 shares Stock dividend = 15% = 560,000 * 15% = 84,000 shares Stock divid...
Q: Home Office Branch P 256,000 P 78,500 20,000 Sales Purchases from outsiders Shipments to branch: Cos...
A: Mark up on purchase = (40,000 - 30,000)/40,000 = 25% of Billing price Inventory at cost on Decembe...
Q: Note that this was everything given for this particular item. Use the information below to figure...
A: Inventory valuation is based on the flow of exemption used by the company. There are many methods fo...
Q: 1. The business receives billing for electricity used during the period. Before the bill is paid, it...
A: Note:- Since you have asked multiple questions, we will solve the first question for you. If you wan...
Q: Break-Even in Sales Revenue, Margin of Safety Sports-Reps, Inc., represents professional athletes an...
A: Contribution margin is the sales revenue which is over and above the variable costs of the business....
Q: Capital Gains and Casualty Gains and Losses (LO 8.9) An office machine used by Josie in her accounti...
A: As the machine is not insured, there is no way to recover the amount lost.
Q: Analyze the conceptual framework of the pronouncement on equity investments under the international ...
A: Equity Investments: When money is invested in a firm via the purchase of shares in that company on t...
Q: Calculate the Begin. Inv. (in $000) Purchases COGS inventory depreciation expense for June using a 1...
A: A depreciation expense is the amount subtracted from gross profit to account for a decrease in the v...
Q: What is the most common source of funding for entrepreneurs? Multiple Choice personal savings and In...
A: Hi student Since there are multiple questions, we will answer only first question.
Q: On November 5, 2019, a Muntinlupa Company truck was in an accident with an auto driven by Murcia. Mu...
A: Provision refers to funds that are set aside by the business with a view to cover uncertain future l...
Q: onsulting firm that uses job order costing to capture th ewere no consulting jobs in process at the ...
A: Job order cost system determines the cost of each individually as each job is different from one ano...
Q: No handwriting ,please The Hilton's manufacturing company uses job order costing system. The compa...
A: Gross profit earned=Sales Revenue-Adjusted Cost of Goods Sold
Q: At December 31, Hawke Company reports the following results for its calendar year.
A: Bad debt refers to loans or ongoing quantities owed that are no longer considered collectible and mu...
Q: Multiple choice 1. Entity A had total assets, liabilities, and equity of ₱150M, ₱90M and ₱60M, respe...
A: Since, there are multiple questions posted we will answer the first question for you as per the guid...
Q: Determine the adjusted balance of the Home office account on the books of the branch as of December ...
A: ABC Company has a branch the balance of which in the home office books show a balance of P1,50,000. ...
Q: Retained earnings, May 1 $3,750,000 Net income 720,000 Cash dividends declared 80,000 Stock dividend...
A: If company issue stock dividend, company reduce its retain earnings and increase its capital account...
Q: a. The home office has billed the branch the amount of P37,500 for the merchandise, which was in tra...
A:
Q: On October 1, 2005, Steve admits Martin for an interest in his business. On this date, Steve's capit...
A: At the time of admission of new partner into the partnership, existing assets and liabilities are be...
Q: Problem 9-7 The FICA Tax (LO 9.3) (No COVID-19 provisions) Lamden Company paid its employee, Trudy, ...
A: Since the federal government forces companies to deduct these taxes from individuals' paychecks, FIC...
Q: Bison Co. acquired 70 percent of Hodge Co. by paying $650K on 01/01/2019, Of this amout, $20K was a ...
A: The equity method of accounting for consolidation uses the fair value to record all the assets and l...
Q: etained earnings, May 1 $3,750,0 Het income 720,000 Cash dividends declared 80,000 tock dividends de...
A: Ending Balance of retained earnings = Beginning balance of retained earnings + net income - cash div...
Q: 15-year mortgage. In ne end of each month, with the first payment due on Janua
A: Given that, Cost of the building purchased = $550000 Down payment made = $110000 Notes payable signe...
Q: Glenville Company has the following information for April: Cost of direct materials used in producti...
A: Preparation of the above statements that is statement of cost of goods manufactured and statment of ...
Q: True or false Amortization is the spreading out of a cost over a period of time ?
A: Cost refers to the amount incurred by the entity over a particular item of expense, asset or liabili...
Q: The following information came from the books and records of ABC Corporation and its branch. The bal...
A: Branch and Head office concept comes in to existence where company is running from more than one en...
Q: Partners X (Capital Balance - 350,000), Y (Capital Balance - 750,000), and Z (Capital Balance - 400,...
A: Capital balance X = 350,000 Y= 750,000 Z= 400,000
Q: a. The home office has billed the branch the amount of P37,500 for the merchandise, which was in tra...
A: Calculation: Amount (P) Branch account balance in the books of home office 1,50,00...
Q: Recording a Change in Depreciation Method Southern Corporation has been depreciating equipment over ...
A: Depreciation is the allocation of cost of asset over the useful life of the asset. There are several...
Q: what amount of accrued liability would Raven have reported in its December 31, 2026 statement of fin...
A: Provision of Litigation is the probability of uncertain timing or amount, in this case the Raven com...
Q: Entity A’s accounts receivable has a balance of ₱10,000. If the related allowance for bad debts acco...
A: The allowance for doubtful accounts is created to record estimated bad debt expense for the period.
Q: Phillip F lamm's Computer Store in Texas sells a printer for $200. Demand is constant during the yea...
A: Inventory refers to the stock that the company has held for the resale purpose or the goods that are...
Q: On September 8, 2020, Holly purchased a residential apartment building. The cost basis assigned to t...
A: Computation of total depreciation deduction for the year 2020 MACRS depreciation for 2020 + MACRS de...
Q: The stockholders' equity section of Heatherly Corporation's balance sheet as of December 31, 2021 is...
A: Every company requires capital for investment purposes and for carrying out their long term objectiv...
Q: What are scheduled, interim, and past due statements? Please explain.
A: Financial statements are documents that detail a company's operations and cash flows results. . The ...
Q: Multiple choice: 1. The business borrowed ₱1M from the bank. At maturity date, the business pays the...
A: Lets understand the basics. When one person borrows money from the other than then first mentioned p...
Q: The auditor shall never include in the same auditor’s report an unmodified opinion on a single FS th...
A: If the auditor determines that it is essential to express an adverse opinion or disclaim an opinion ...
Q: 023 is summarized as follow.
A: WQorking Note :- Particulars XY Sales Units AB Sales Units Old bugetedn units...
Q: 3. The following information came from the books and records of ABC Corporation and its branch. The ...
A: Branch Accounting is a book-keeping system in which separate accounts are maintained for each branch...
Q: Name the four major alternative cash flows assumptions.
A: The increase or decrease in the amount of money owned by a company, institution, or individual is re...
Please answer correct with reason
Trending now
This is a popular solution!
Step by step
Solved in 2 steps
- When the double-extension approach to the dollar-value LIFO inventory cost flow method is used, the inventory layer added in the current year is multiplied by an index number. How would the following be used in the calculation of this index number?Use the last-in, first-out (LIFO) cost allocation method, with perpetual inventory updating, to calculate (a) sales revenue, (b) cost of goods sold, and c) gross margin for A75 Company, considering the following transactions.Which of the following financial statements would be impacted by a current-year ending inventory error, when using a periodic inventory updating system? A. balance sheet B. income statement C. neither statement D. both statements
- Under the periodic inventory system, what account is debited when an estimate is made for the cost of merchandise inventory sold this year, but expected to be returned next year? (a) Estimated Returns Inventory (b) Sales Returns and Allowances (c) Merchandise Inventory (d) Customer Refunds PayablePerpetual and Periodic Inventory Systems Below is a list of inventory systems options. a. Perpetual inventory system b. Periodic inventory system c. Both perpetual and periodic inventory systems Required: Match each option with one of the following: 1. Only revenue is recorded as sales are made during the period; the cost of goods sold is recorded at the end of the period. 2. Cost of goods sold is determined as each sale is made. 3. Inventory purchases are recorded in an inventory account. 4. Inventory purchases are recorded in a purchases account. 5. Cost of goods sold is determined only at the end of the period by subtracting the cost of ending inventory from the cost of goods available for sale. 6. Both revenue and cost of goods sold are recorded during the period as sales are made. 7. The inventory is verified by a physical count.Use the last-in, first-out method (LIFO) cost allocation method, with perpetual inventory updating, to calculate (a) sales revenue, (b) cost of goods sold, and c) gross margin for B75 Company, considering the following transactions.
- Under the periodic inventory system, what account is credited when an estimate is made for sales made this year, but expected to be returned next year? (a) Merchandise Inventory (b) Customer Refunds Payable (c) Sales (d) Sales Returns and AllowancesWhat is the basic assumption underlying the gross profit method? How may the gross profit percentage for the prior year be modified to provide a better estimate of the inventory value?Which inventory costing method is almost always done on a perpetual basis? A. specific identification B. first-in, first-out C. last-in, first-out D. weighted average
- Which of the following is an advantage of the periodic inventory system? A. frequent physical inventory counts B. cost prohibitive C. time consuming D. real-time information for managersInventory Valuation Specific identification method Weighted average cost method FIFO method LIFO method LIFO liquidation LIFO conformity rule LIFO reserve Replacement cost Inventory profit Lower-of-cost-or-market (LCM) rule Inventory turnover ratio Number of days sales in inventory Moving average (Appendix) The name given to an average cost method when a weighted average cost assumption is used with a perpetual inventory system. An inventory costing method that assigns the same unit cost to all units available for sale during the period. A conservative inventory valuation approach that is an attempt to anticipate declines in the value of inventory before its actual sale. An inventory costing method that assigns the most recent costs to ending inventory. The current cost of a unit of inventory. An inventory costing method that assigns the most recent costs to cost of goods sold. A measure of how long it takes to sell inventory. The IRS requirement that when LIFO is used on a tax return, it must also be used in reporting income to stockholders. An inventory costing method that relies on matching unit costs with the actual units sold. The portion of the gross profit that results from holding inventory during a period of rising prices. The result of selling more units than are purchased during the period, which can have negative tax consequences if a company is using LIFO. The excess of the value of a companys inventory stated at FIFO over the value stated at LIFO. A measure of the number of times inventory is sold during the period.Consider each of the following independent situations. Should a company report the goods in its inventory? (a) Goods purchased by the company with shipping terms FOB shipping point that are in transit at the end of the year (b) Goods received by the company on consignment (c) An estimate of the amount of goods sold by the company that it expects the buyer to return (d) Goods required to be purchased by the company under an unconditional purchase obligation