Kiddie World uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold.The following data are available at the end of the year:Beginning inventoryNet purchasesFreight-inNet markupsNet markdownsNet salesBeginning inventoryPlus: Net purchasesFreight-inCost$ 400,000905,00045,000Net markupsLess: Net markdownsGoods available for saleCost-to-retail percentageLess: Net salesEstimated ending inventory at retailEstimated ending inventory at costEstimated cost of goods soldEstimate ending inventory and cost of goods sold (average cost).Note: Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.)Retail$ 535,0001,310,000$58,00028,0001,250,000Cost400,000 $905,00045,0001,350,000$Retail535,0001,310,00058,000(28,000)1,875,000(1,250,000)625.000Cost-to-RetailRatio

Name: Kiddie World uses a periodic inventory system and the retail inventor
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Description: Kiddie World uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods sold.The following data are available at the end of the year:Beginning inventoryNet purchasesFreight-inNet markupsNet markdo

The company keeps inventory for the purpose of sale. Inventory is Assets for the company. The…

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Kiddie World uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods The following data are available at the end of the year: Beginning inventory Net purchases Freight-in Net markups Net markdowns Net sales Beginning inventory Plus: Net purchases Freight-in Net markups Less: Net markdowns Goods available for sale Cost-to-retail percentage Less: Net sales Cost $ 400,000 905,000 45,000 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold Estimate ending inventory and cost of goods sold (average cost). Note: Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.) Retail $ 535,000 1,310,000 $ 58,000 28,000 1,250,000 Cost 400,000 $ 905,000 45,000 1,350,000 $ Retail 535,000 1,310,000 58,000 (28,000) 1,875,000 (1,250,000) 625,000 Cost-to-Retail Ratio

Kiddie World uses a periodic inventory system and the retail inventory method to estimate ending inventory and cost of goods The following data are available at the end of the year: Beginning inventory Net purchases Freight-in Net markups Net markdowns Net sales Beginning inventory Plus: Net purchases Freight-in Net markups Less: Net markdowns Goods available for sale Cost-to-retail percentage Less: Net sales Cost $ 400,000 905,000 45,000 Estimated ending inventory at retail Estimated ending inventory at cost Estimated cost of goods sold Estimate ending inventory and cost of goods sold (average cost). Note: Round ratio calculation to 2 decimal places (i.e., 0.1234 should be entered as 12.34%.) Retail $ 535,000 1,310,000 $ 58,000 28,000 1,250,000 Cost 400,000 $ 905,000 45,000 1,350,000 $ Retail 535,000 1,310,000 58,000 (28,000) 1,875,000 (1,250,000) 625,000 Cost-to-Retail Ratio

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter6: Cost Of Goods Sold And Inventory

Section: Chapter Questions

Problem 50E: Inventory Costing Methods Crandall Distributors uses a perpetual inventory system and has the...

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