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
Ilia_Sergeevich [38]
3 years ago
5

Assume instead that (a) freight costs were paid by the vendor, (b) no discounts were taken, and (c) the merchandise on hand at t

he beginning of 2021 was determined by a physical count that failed to realize that $10,000 of merchandise was being held on consignment for Frosting R Us Inc. What is cost of goods available for sale, assuming CBC uses the gross method to record purchase discounts?
A. $318,000.
B. $327,000.
C. $321,480.
D. $337,000.
Business
1 answer:
cricket20 [7]3 years ago
4 0

Answer:

The missing part of the question is found below:

Cinnamon Buns Co. (CBC) started 2021 with $52,000 of merchandise on hand. During 2021, $280,000 in merchandise was purchased on account with credit terms of 2/10, n/30. All discounts were taken. Purchases were all made f.o.b. shipping point. CBC paid freight charges of $9,000. Merchandise with an invoice amount of $4,000 was returned for credit. Cost of goods sold for the year was $316,000. CBC uses a perpetual inventory system.

Option A,$318,000 is correct

Explanation:

The points to note  in answering this question are :

The opening inventory of $52,000 was overvalued as $10,000 out of it was held for third as consignment,hence it does belong to Cinnamon Buns Co(CBC).

Secondly,in calculating the costs of goods available the freight charges are disregarded since it assumed to have been paid by the supplier.

Lastly discounts are assumed not have been taken,as a result the purchase and returns should be stated at invoice prices.

Restated opening inventory=$52,000-$10,000=$42,000

Merchandise purchased is $280,000

merchandise returned is $4,000

Costs of goods available=opening inventory+purchases-returns

                                         =$42,000+$280,000-$4000

                                         =$318,000

You might be interested in
Differential Analysis for Further Processing
ArbitrLikvidat [17]

Answer:

Dominican Sugar Company

1. Differential Analysis as of March 24:

                                          Raw Sugar       Refined Sugar

                                        Alternative 1       Alternative 2       Difference

Sales volume                        42,000            33,600

Selling price per pound          $1.40              $2.20

Sales revenue                   $58,800          $73,920                 $15,120

Materials requirement      100,000            42,000

Output from process         42,000            33,600

Unit cost                               $0.35              

Cost of materials            $35,000          $35,000

Cost of further refining                           $21,000

Total costs                      $35,000          $56,000                ($21,000)

Net income                     $23,800           $17,920                  ($5,880)

2. Based on cost implications, Dominican Sugar should not refine the raw sugar further.  Further refining will cause the company $5,880 in lost income.  This means that it costs more to refine the raw sugar.

Explanation:

a) Data and Calculations:

                                          Raw Sugar       Refined Sugar

                                        Alternative 1       Alternative 2

Sales volume                        42,000            33,600 (42,000/1.25)

Selling price per pound          $1.40              $2.20

Sales revenue                   $58,800          $73,920

Materials requirement      100,000            42,000

Output from process         42,000            33,600 (42,000/1.25)

Unit cost                               $0.35              

Cost of materials            $35,000          $35,000

Cost of further refining                           $21,000 (42,000 * $0.50)

Total costs                      $35,000          $56,000

Net income                     $23,800           $17,920

6 0
2 years ago
Because different nations have vastly different numbers of people living in them, Gross Domestic Product (GDP) is a very poor wa
fiasKO [112]
I think the correct answer from the choices listed above is option A. Gross National Product or GNP is used by economists in place with GDP. Gross National Product is an expression used to measure economic growth and wealth. It includes the value of all goods and services in a given period of time.
3 0
3 years ago
If you are accused of a criminal act, you can substantially lower your legal costs by _____.
evablogger [386]
B. By accepting a public defender (since then you wouldn't have to pay for a lawyer)
3 0
3 years ago
Read 2 more answers
Jaklyn loves her job, admires her boss, and believes in the goals and vision of the company she works for. She can't imagine loo
kati45 [8]

Answer:

C) a high level of organizational commitment.

Explanation:

Since Jacklyn loves her job, admires her boss, believes in goals and vision of company. Also, she can't imagine looking for or finding a better job. Jacklyn likely demonstrates a high level of organizational commitment.

Hence, she's not ready to bear the cost or difficulty associated with leaving or finding another job and thus desires to remain at her present company.

4 0
3 years ago
________ is the process of planning, organizing, directing, and controlling an organization's financial, physical, human, and in
Pie

<u>Answer:</u> C. Management

<u>Explanation:</u>

In order to achieve the goals and objectives of the organization the management has to follow the process of planning, directing, and controlling an organization's financial, physical, human, and information resources. Planning is the way of organizing things to achieve desired goals. Guidance and motivation of the employees is essential for meeting goals

Monitoring and evaluating the tasks is necessary action by the management to control the activities of the firm and direct them in the right path.

6 0
3 years ago
Other questions:
  • Gloria Company had no beginning work in process. During the period, 16000 units were completed, and there were 1200 units of end
    7·1 answer
  • Karen is selling carnations at her school during Valentine's week. She purchased 1,000 carnations for $250.00. She is selling ea
    13·1 answer
  • Fernandez Corporation purchased a truck at the beginning of 2020 for $50,000. The truck is estimated to have a salvage value of
    12·1 answer
  • 3. According to the National Automobile Dealers Association, a single dealership may employ people with as many as 57 different
    9·1 answer
  • "john is a drug dealer who wants to make quick money. john is an example of a"
    12·2 answers
  • Planners &amp; Builders, Inc., enters into a contract with O’Reilly to refurbish a garage on his property as an auto repair shop
    14·1 answer
  • Robins typically lay four eggs. Four eggs allow the offspring to be well fed, whereas larger clutches may result in malnourished
    5·1 answer
  • Secured bonds are bonds that
    7·1 answer
  • Click on the item below that contains a comma splice.
    9·1 answer
  • On January 1, 2021, Majestic Mantles leased a lathe from Equipment Leasing under a finance lease. Lease payments are made annual
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!