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3 years ago

) Using the following information, what is the amount of cost of merchandise sold?

Business

1 answer:

Orlov [11]3 years ago

5 0

Answer:

C. 30,210

Explanation:

Cost of merchandise sold = cost of merchandise purchase - cost of merchandise left in inventory

= Purchases of $32,000 - Purchases discounts of $960 - Purchases returns and allowances of $1,200 + Freight In of $1,040

- ( Merchandise inventory at September 30 of $6,370 - Merchandise inventory September 1 of $5,700)

= 32,000- 960- 1,200+1,040 - 670 = 30,210

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During 2017, Williamson Company changed from FIFO to weighted-average inventory pricing. Pretax income in 2016 and 2015 (William

sergeinik [125]

Answer:

Explanation:

Comparative income statements for Williamson is presented below:

Particulars 2017 2016 2015

Income before income tax $180,000 $145,000 $170,000

Less:Income tax $54,000 $43,500 $51,000

Net income $126,000 $101,500 $119,000

The income tax is computed below:

For 2017

= $180,000 × 30%

= $54,000

For 2016

= $145,000 × 30%

= $43,500

For 2015

= $170,000 × 30%

= $51,000

8 0

3 years ago

Ajax is reviewing its previous 100% acquisition of Baxter to determine if there is goodwill impairment. At December 31, 2020 Aja

Sedaia [141]

Answer:

Baxter

The amount of the Goodwill write-off required to be booked by Ajax at December 31, 2020 under the FASB rules effective in 2020 is:

= $130,000.

Explanation:

a) Data and Calculations:

Recorded Goodwill = $330,000

Book value of net assets = $400,000

Book value of all assets = $730,000 ($400,000 + $330,000)

Estimated fair value of company = $600,000

Goodwill impairment = $130,000 ($730,000 - $600,000)

b) The Goodwill impairment of $130,000 arose when the book value or the carrying amount exceeded the estimated fair value.

7 0

3 years ago

Copper Corporation, a calendar year C corporation, owns stock in Bronze Corporation and has net operating income of $900,000 for

UNO [17]

Answer: $150,000

Explanation:

The Dividend Received Deduction is a Federal tax deduction that applies when a related company pays dividends to another company that owns part of it.

The relevant provision is that when a company owns more than 80% of the company receiving the Dividend, the Dividend Received Deduction amounts to 100% of dividends received.

Cooper Corporation may therefore claim a deduction of $150,000 being the total amount as they own 85% of Broze Corporation Stock.

7 0

3 years ago

Read 2 more answers

Zachary, a manager at ExecuComp, receives quarterly reports, which track his department's production statistics. However, these

makkiz [27]

Answer: measuring actual performance

Explanation: Measuring is the first step in the control cycle. Many employment and tasks can be expressed in concrete and observable terms.

Managers often use a number of information sources to assess actual performance, such as personal observations, statistical reports, oral reports, and written reports.

In the given case, Zachary is using a report that lacks relevance relative to the measurement criteria. Hence from the above we can conclude that the correct option is A.

6 0

4 years ago

Read 2 more answers

During July at Pool Company, $65,000 of raw materials were requisitioned from the storeroom for use in production. These raw mat

QveST [7]

Answer:

$4,000

Explanation:

Preparation of the journal entry.

Based on the information given we were told that The indirect materials totaled the amount of $4,000 which means that the appropriate journal entry to record this requisition would include a DEBIT TO MANUFACTURING OVERHEAD of the amount of $4,000.

(To record requisition)

6 0

3 years ago