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Elena L [17]
3 years ago
6

Northwest Fur Co. started the year with $92,000 of merchandise inventory on hand. During the year, $425,000 in merchandise was p

urchased on account with credit terms of 1/15, n/45. All discounts were taken. Northwest paid freight-in charges of $7,000. Merchandise with an invoice amount of $5,000 was returned for credit. Cost of goods sold for the year was $372,000. What is ending inventory
Business
1 answer:
Artyom0805 [142]3 years ago
8 0

Answer:

$ 142,800.00  

Explanation:

The ending inventory can be computed by rearranging the cost of goods sold formula:

cost of goods sold=Beginning inventory+net purchases-ending inventory

ending inventory=beginning inventory+net purchases-cost of goods sold

beginning inventory is $92,000

Net purchases=purchases-discount+freight-in charges-purchase return

net purchases=$425,000-($425,000*1%)+$7000-($5000*99%)=$422,800.00  

cost of goods sold is $372,000

ending inventory=$92,000+$422,800-$372,000=$ 142,800.00  

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Calculate the amount of depreciation to report during the year ended December 31, 2013, for equipment that was purchased at a co
alukav5142 [94]

Answer:

1) Straightline   $ 2000

2) Double-Declining-Balance  $ 4000

3) Units of Production  $ 2000

Explanation:

Cost of equipment $43,000

Residual value of equipment  $3,000

Useful life of equipment 5 years

Formula:

1) Straight Line Method Depreciation = Cost - Salvage Value/ Useful Life

Straight Line Method Depreciation = $43,000 -$3,000/5=$ 8000

The amount of depreciation using Straight Line Method Depreciation for the year ended December 31, 2013, is

($ 8000/12)*3= $ 2000

The straight Line depreciation expense for 3 months is $ 2000

2) Straight Line Rate= 100%

Useful Life= 100%/5 = 20%

Double Declining Method = 2 * Straight Line Rate

Double Declining Method = 2 * Straight Line Rate= 2*20%= 40%

Year     Book Value      Dep          Dep               Accu.       Book

                                      Rate         Expense      Dep.          Value

1           40,000             40              16000          16000         24000

Depreciation Expense for the whole year would be $ 16000.

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3) Depreciation per unit= (Cost -Salvage value) / Total units of production

Depreciation per unit=  $43,000 -$3,000/20,000=40,000/20,000=2

Depreciation Expense = Depreciation per unit * No of Units Produced

Depreciation Expense =  2*1000= $ 2000

Depreciation Expense using  Units of Production method would be $ 2000 for 3 months. i.e on 31st Oct 2013

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3 years ago
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Copper Corporation, a C corporation, had gross receipts of $25 million in 2015, $26 million in 2016, and $23 million in 2017. Go
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Answer:c. Both Copper Corporation and Gold Corporation.

Explanation:Cash accounting is an accounting method in which payment receipts are recorded during the period they are received, and expenses are recorded in the period in which they are actually paid. In other words, revenues and expenses are recorded when cash is received and paid, respectively.

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Downturn and exceeds. If the economy in a market down turns more busisinesses fail and come up for sale.

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If the money supply is​ $500 and nominal income is​ $3,000, the velocity of money is A. ​1/60. B. ​1/6. C. 6. D. 60.
algol [13]

Answer:

The correct option is c.6

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and, the money supply is $500

Now put these values to the above formula so that we can find out the answer

So, the answer would be equal to

= $3,000 ÷ $500

= 6

Thus, the velocity of money is 6

Hence, the correct option is c.6

5 0
3 years ago
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