The company's cost of good sold is $350,000. The cost of good sold is a cost which directly attributed to the inventory sold by a company. Gross profit is a portion of income which created by the selling of inventory ignoring other expense besides the cost of good sold. From the company's data, we can find the cost of good sold by finding the difference between net sales and gross profit, therefore the formula we have to use is "Cost of good sold = Net sales - gross profit".
Answer:
b.
Explanation:
The company sold 6 advertising spaces that would run from July to December for $400 each.
Total amount received for selling 6 advertising spaces = 6×$400
Total amount received for selling 6 advertising spaces = $2,400
The advertising spaces will run for 6 months i.e., July to December.
So, adjusting entry on 31st July would record the revenue earned for 1 month only.
Total revenue = $2,400
No. of months = 6
Revenue for 1 month = $2,400/6
Revenue for 1 month = $600
Thus, journal entry on receipt of cash as well as adjusting journal entry has been shown below:
Answer: The same as the industry's demand curve
Explanation:
The demand curve faced by a non discriminating pure monopoly is same as the industry demand curve as, the monopoly facing the demand curve of the industry in the form of the downward sloping demand curve so that the monopolist increased its output demand. A non discriminating monopolist determined the demand curved and ultimately determined the price which are willing for pay.
Answer and Explanation:
The preparation of the sales section of the income statement is presented below:
<u>Income Statement
</u>
<u>For the year ended </u>
Sales
Sales revenue $903,400
Less:
Sales Discount $15,400
Sales return & allowances $22,000
Net Sales $866,000
hence the net sales is $866,000
The freight out would not be considered. Hence, ignored it
