All categories

3 years ago

Using the following information, what is the amount of gross profit?

Business

1 answer:

SIZIF [17.4K]3 years ago

3 0

Answer:

Gross profit= $54,700

Explanation:

Giving the following information:

Purchases $37,000

Merchandise inventory, September 1 6,100

Merchandise inventory, September 30 6,800

Sales 91,000

First, we need to calculate the cost of goods sold:

COGS= beginning finished inventory + cost of goods purchased - ending finished inventory

COGS= 6,100 + 37,000 - 6,800

COGS= $36,300

Now, the gross profit:

Gross profit= sales - COGS

Gross profit= 91,000 - 36,300

Gross profit= $54,700

You might be interested in

When a corporation issues its capital stock in payment for services, the least appropriate basis for recording the transaction i

koban [17]

Answer:

par value of the shares issued.

Explanation:

In the case when the corporation issued the capital stock with regard to the service payment so the least & appropriate basis for recording the above transaction would be the par value of the shares issued as it would leads to the excess payment

Therefore according to the given situation the last option is right

8 0

3 years ago

Oriole Company purchased equipment for $41600. Sales tax on the purchase was $2496. Other costs incurred were freight charges of

Aleksandr [31]

Answer:

The cost of the equipment is $45,416.

Explanation:

The cost of a newly purchased equipment is the addition of all relevant costs uncured in order to make the equipment ready for use.

The cost of the equipment includes costs such as purchase price, tax paid on the purchase, installation costs, etc.

However, any cost incurred to repair any damage to an equipment during installation is not part of equipment cost. Such repair costs are just ordinary expenses that are charged to the income statement during the period.

Based on the explanation above, the cost of the equipment by Oriole Company can be calculated as follows:

Equipment cost = Purchase price + Sales tax + Freight charges + Installation costs ..................... (1)

Since,

Purchase price = $41,600

Sales tax on the purchase = $2.496.

Freight charges = $624

Installation costs = $696.

Substituting the values into equation (1), we have:

Equipment cost = $41,600 + $2,496 + $624 + $696 = $45,416

Therefore, the cost of the equipment is $45,416.

5 0

3 years ago

Karen is buying a new laptop. She is looking for a light-weight computer. The laptop she purchases is a little heavier than she

Ipatiy [6.2K]

Karen is buying a new laptop. She is looking for a light-weight computer. The laptop she purchases is a little heavier than she had originally hoped, but she was willing to accept the extra weight for a computer with a bigger, clearer screen.

Karen made her purchase decision using a compensatory decision rule.

In psychology, compensation is a approach whereby one covers up, consciously or unconsciously, weaknesses, frustrations, goals, or feelings of inadequacy or incompetence in a single life area thru the gratification or (drive toward) excellence in some other area. compensation can cowl up both real or imagined deficiencies and personal or bodily inferiority. fantastic compensations may additionally help one to conquer one's problems. then again, bad compensations do not, which ends up in a strengthened feeling of inferiority.

Learn more about compensatory here

brainly.com/question/4395083

#SPJ4

8 0

1 year ago

The invention of the ________ addressed two challenges faced by department store owners in the late 19th century: creating detai

Ostrovityanka [42]

The invention of (cash register) addressed two challenges faced by department store owners in the late 19th century: creating detailed sales records and embezzlement by employees.

4 0

3 years ago

A company issued common stock and preferred stock. Projected growth rate of the common stock is 5%. The current quarterly divide

mr_godi [17]

Answer:

Explanation:

If the current quarterly dividend on preferred stock = $1.60, that means that the current yearly dividend = $1.60 x 4 quarters = $6.40

Since the yearly dividend = $6.40 and the current market price of preferred stock is $80, its expected rate of return = $6.40 / $80 = 8%

7 0

3 years ago

Using the following information, what is the amount of gross profit?​

Using the following information, what is the amount of gross profit?