1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
inna [77]
2 years ago
12

LaRoe Lawns’ inventory increased during the year by $6.7 million. Its accounts payable increased by $6.6 million during the same

period. a. What is the amount of cash LaRoe paid to suppliers of merchandise during the reporting period if its cost of goods sold was $44 million? b. Prepare a summary entry that represents the net effect of merchandise purchases during the reporting period.
Business
1 answer:
kozerog [31]2 years ago
4 0

Answer:

a. Cash paid to suppliers of merchandise during the reporting period: $44.1 million

b. A summary entry that represents the net effect of merchandise purchases during the reporting period as below:

Dr Cost of goods sold                  44,000,000

Dr Inventory                                   6,700,000

Cr Account Payable                      6,600,00

Cr Cash                                          44,100,000

Explanation:

We have the total amount goods buying from the supplier in the period = Cost of good sold in the period + Difference in the inventory balance of the period = $44 million + $6.7 million = $50.7 million

Thus, the additional amount owed supplier in the period is $50.7 million.

Account Payable increased by 6.6 million, it means that only 44.1 million ( that is, 50.7 million - 6.6 million) is paid during the period.

Thus, the summary will represents: Increase in COGS 44 million ( given); Increase in Inventory 6.7 million (given); Increase in account payable 6.6 million ( given) and Decrease in Cash 44.1 million ( calculated above).

You might be interested in
LeMay Department Store uses the retail inventory method to estimate ending inventory for its monthly financial statements. The f
Nutka1998 [239]

Answer:

Cost to retail ratio = 57.05%

Explanation:

Particulars                                                               Cost       Retail

Beginning Inventory                                            $46,000    $66,000

Add: Purchases                                                    $213,000   $406,000

Less: Purchases Return                                       $7,000       $9,000

Freight In                                                               $15,558          -

Net Markups                                                               -             $6,400

Good Avail. for Sales (Without markdowns)   $267,558   $469,000

Cost to retail ratio = $267,558/$469,000

Cost to retail ratio = 0.570486

Cost to retail ratio = 57.05%

6 0
3 years ago
The properly marked source document states:
Mariana [72]

Answer:

B. Contained in

Explanation:

Base on the scenario been described in the question, the concept that is used to derivatively classify the statement in the new document is contained in

Contained in can be said to a classified statement in a new document

4 0
3 years ago
Nicole works from home full-time for a non-profit organization. She receives work from and sends work to the office via a comput
BartSMP [9]

Answer:

telecommuting

Explanation:

Telecommuting is also generally referred to as teleworking and it can be defined as an act which typically involves the process of completing a job function, tasks or work assignments through the use of the internet and in a location other than the office itself.

In this scenario, Nicole works from home full-time for a non-profit organization. She receives work from and sends work to the office via a computer and modem. Thus, this is an example of telecommuting.

3 0
3 years ago
The primary difference between variable costing and absorption costing is
IgorLugansk [536]

Answer:

The correct answer is letter "D": in absorption​ costing, fixed manufacturing overhead is a product cost.

Explanation:

Absorption costing or full costing includes all costs related to the production process like the fixed costs. Variable costing, on the other hand, only includes the variable costs from the production. Absorption costing incorporates allocating fixed overhead costs of each unit produced during a certain period.

4 0
3 years ago
The Washington, D.C.-based Heritage Foundation survey consists of over 178 countries ranked by degree of economic freedom. The k
DedPeter [7]

Answer:

percent foreign ownership.

Explanation:

The twelve freedoms included in the Heritage Foundation of Economic Freedom index are divided into four main categories:  

Rule of law

  • Property rights
  • Judicial effectiveness
  • Government integrity

Government size

  • Tax burden
  • Government spending
  • Fiscal health

Regulatory efficiency

  • Business freedom
  • Labor freedom
  • Monetary freedom

Open markets

  • Trade freedom
  • Investment freedom
  • Financial freedom
8 0
2 years ago
Other questions:
  • Why is it beneficial for businesses to be stationed in cities?
    8·1 answer
  • Which of the following statements is correct about the requirements of an LLP?
    14·1 answer
  • The great disparity in economic prosperity between north and south korea can best be explained by the​ _____________.
    8·1 answer
  • Mason Automotive is an automotive parts company that sells car parts and provides car service to customers. This is Mason's firs
    9·1 answer
  • A high school basketball team won 40% of its first 15 games. beginning with the 16th game, how many games in a row does the team
    13·1 answer
  • Martha worked for a marketing company with a casual atmosphere and informal culture. The company declared bankruptcy. Martha can
    10·1 answer
  • Cheryl's Cookies has decided to create a charity that ships cookies to soldiers stationed in Syria. The soldiers could request t
    5·1 answer
  • Your friend is starting a company and wants to identify the job their product will do for people. What advice would you give the
    11·1 answer
  • This resume format focuses on the task or skills that an applicant can preform :
    11·1 answer
  • The fundamental principle of insurance underwriting is that the cost of health care can be predicted for:___.
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!