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
Illusion [34]
2 years ago
14

After the accountant of Stallone Retailers had prepared the financial statements for the year ended 31 December Year​ 6, the fol

lowing errors came to​ light:
1. A motor van purchased for ​8,000 during the year had been charged to motor running expenses. The motor van should be charged with depreciation at the rate of​ 20% of cost.
2. Closing​ inventories, which had been used in calculating gross​ profit, had been overvalued by​ £3,000.
3. The owner had withdrawn ​4,000 from the business in the form of goods acquired for​ resale, which had not been recorded.
4. An​ interest-free loan of ​2,200 from a relative of the owner was repaid during the year but this was not recorded.
The profit for the year before these errors were discovered was ​112,000.
What is the profit for the year after adjusting for these​ errors?
Business
1 answer:
n200080 [17]2 years ago
4 0

The adjusted profit of Stallone Retailers for the year ended December 31, Year 6 is £115,400.

Data Analysis:

1. Motor Van £8,000 Motor running expense £8,000

Depreciation expense  £1,600 Accumulated depreciation £1,600 ( £8,000 x 20%)

2. Cost of goods sold £3,000 Inventory £3,000

3. Drawings  £4,000 Inventory  £4,000

4. Loan  £2,200 Cash  £2,200

<u>Adjustment of Profit</u>

Profit before the errors  £112,000

Adjustments:

Motor running expense   £8,000

Depreciation expense    (£1,600)

Cost of goods sold         (£3,000)

Adjusted profit            £115,400

Thus, the adjusted profit is now £115,400.

Learn more: brainly.com/question/3816206

You might be interested in
A woman is shopping with her three children. She is carrying several items and does not have a shopping basket. She is still bro
dlinn [17]

Answer: The women customer either complain to the supervisors to address her issue immediately nor the employee should apologize to the woman and provides a shopping basket to her.

Explanation:

In every supermarket, All employees of the shop have the duties and responsibilities to serve the customers' needs without any delay in time.  Consumer rights should be always ensured to protected in all the shops irrespective of the size of the business as well the employees count. The consumer has all rights to raise the complaint to the direct supervisors in the market.

In this case, Woman's customer has experienced the pain as she cannot able to get a basket to hold the items. As she needs to take care of her children, Her request needs to fulfilled without any delay. Mutual consent with the ethics of the shop needs to tie up the bonding relationship between employees and consumers. At last, if the employee apologizes for her mistake and helps the woman by providing basket will end in the peaceful business transactions in the supermarket.  

3 0
3 years ago
You are given the following data on the Employed, Unemployed, and the Labor Force for 1997: Population 16 years old or over (mil
otez555 [7]

Answer:

136.30 million

Explanation:

Total Labor force = Total of the Unemployed + Total of the Employed

Total Labor force = 129.6 million + 6.7 million

Total Labor force = 136.30 million

So, the total labor force in millions in the economy for 1997 equals 136.30 million

5 0
3 years ago
In March 2018, Daniela Motor Financing (DMF), offered some securities for sale to the public. Under the terms of the deal, DMF p
kiruha [24]

Answer:

The rate of return is 7.20%

Explanation:

a)  Assuming you purchased the bond for $880, in order to calculate the rate of return you earn if you held the bond for 25 years until it matured with a value $5,000 we would have to calculate the following formula:

Rate of Return = [FV/PV]1/n - 1

Rate of Return= [$5,000 / $880]1/25 - 1 = [5.6818]0.04 - 1 = 1.0720 - 1 = 0.0720, or 7.20%

Rate of Return= [5.6818]0.04 - 1

Rate of Return= 1.0720 - 1

Rate of Return=0.0720, or 7.20%

The rate of return is 7.20%

5 0
3 years ago
Julie and anna opened their store – "hot coffee, cool clothes" – just 12 months ago. the concept was based on a store that they
kenny6666 [7]
Is this a question or a statement?

~ThePirc
6 0
3 years ago
If a department that uses process costing starts the reporting period with 100,000 physical units that were 20% complete with re
Naddika [18.5K]

Answer:

The correct answer is True

Explanation:

In calculating the equivalent units with respect to labor,the physical units at the start of the period is multiplied by the percentage of completion.

In other words, the equivalent units is shown thus:

Equivalent units =100000 units*20%

Equivalent units =20000 units

This implies that labor has carried  out 20% of the work required to transform the 100000 units into finished products,since only 20% work is completed, the remaining 80% is expected in the next period.

7 0
3 years ago
Other questions:
  • Investments are different from savings accounts in that they:
    9·2 answers
  • How does el nino affect the economies of ecuador and peru?
    10·1 answer
  • 1. The crucible is not fired, as the procedure suggests. The mass of the dirty crucible is recorded. However, the impurities are
    10·1 answer
  • In 2019, Alliant Corporation acquired Centerpoint Inc. for $548 million, of which $98 million was allocated to goodwill. At the
    12·1 answer
  • Capital inflow equals:
    14·1 answer
  • Upon graduating from college this year, you expect to earn $25,000 per year. If you get your MBA, in one year you can expect to
    6·1 answer
  • An example of capital is?
    15·1 answer
  • An agreement between Jim and his 18-year-old daughter, Betty, provides that he will give her $25,000 if she does not marry until
    9·1 answer
  • If the Market Equilibrium Wage Rate is $105.00 and FC = $1500.00: A. The firm Shuts Down and hires no workers and loses $1500.00
    14·1 answer
  • Money that your employer holds from your paycheck in order to pay the government taxes is called ___________.
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!