8.A company has cost of goods available for sale of $250,000, salesof $305,000, and a gross profit percentage of 30 percent. Using thegross profit method, what is the ending inventory?a. $95,000b. $50,000c. $36,500d. $158,5009.Which inventory method generally best follows the matchingprinciple?a.Average-costb.LIFOc.Whichever method is used for tax purposesd.FIFO10.mhsgeb gnierIn a period of rising prices, which inventory method is best touse for tax purposes?nting recpupob toa. FIFOb. Average-cost801badong lonnoeeg bnuo dnoltsofthey thobnaqebni olbole?c. Specific identificationnollensqa bd. LIFO1. A good system of internal control is designed to achieve all of thefollowing excepta. Efficiency of operationsnob. Reliability of financial reportingsri yd betelloo estol300c. Compliance with relevant laws and regulationsdd. Attainment of target sales3горsopiado

"As per guidelines, we will solve first question for you. If you want any specific question to be…

8.A company has cost of goods available for sale of $250,000, sales of $305,000, and a gross profit percentage of 30 percent. Using the gross profit method, what is the ending inventory? a. $95,000 b. $50,000 c. $36,500 d. $158,500

8.A company has cost of goods available for sale of $250,000, sales of $305,000, and a gross profit percentage of 30 percent. Using the gross profit method, what is the ending inventory? a. $95,000 b. $50,000 c. $36,500 d. $158,500

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter10: Inventory

Section: Chapter Questions

Problem 4PA: Calculate the cost of goods sold dollar value for A74 Company for the sale on March 11, considering...

See similar textbooks

Related questions

Q: Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care…

A: The objective of the question is to prepare a flexible budget for Lavage Rapide for the month of…

Q: When assessing realizability of deferred tax assets, management must consider positive and negative…

A: The objective of the question is to identify which of the given options would not be considered as…

Q: nkt.5

A: Answers: 1. - Interest revenue from notes receivable: $110,000 x 8% = $8,800 (from the $240,000…

Q: Required information [The following information applies to the questions displayed below.]…

A: Inventory includes all the items, merchandise, and raw materials that are used by the business…

Q: Determine the amount to be capitalized in the asset account for the purchase of the front-end…

A: The cost of an asset is the amount paid for the asset and for expenses incurred in putting the asset…

Q: Exercise 16-23 (Algo) Net operating loss carryforward; financial statement effects [LO16-7] During…

A: Step 1: Analyze the SituationBaginski Steel Corporation, in its first year (2024), reported a net…

Q: Required 1. Using the information above, complete the calculation of accounting ratios and…

A: Accounting ratios compare the financial data of two or more periods. They are used to analyze the…

Q: a. What amount of ordinary income and separately stated items are allocated to them for year 1 based…

A: Step 1:identyfy the original incomes and expenses Step 2:calculate the expenses in each table Step…

Q: On January 1,2020 Universal Company paid P5,400,000 for property containing natural resource of…

A: Wasting asset: A resource that depletes gradually over time such as minerals due to extraction or…

Q: None

A: Journal Entry :— It is an act of recording transactions in books of account when transaction…

Q: Woods Company reports income before taxes in the amount of $925,000. The current tax expense is…

A: The conservatism ratio compares a company's provision for income taxes, based on the effective tax…

Q: Bank Reconciliation and Entries The cash account for Norwegian Medical Co. at April 30 indicated a…

A: The objective of the question is to prepare a bank reconciliation statement for Norwegian Medical…

Q: The general ledger of Zips Storage at January 1, 2024, includes the following account balances:…

A: The closing entries are made at the end of the accounting year, the revenues and expenses account is…

Q: Tea Tree Therapeutics is an Arizona company with a SUTA tax of 5.2% and a SUTA wage base of $7,000.…

A: Individuals' FICA payments pay for benefits while creating the basis for future benefits.FICA…

Q: HOPE Corporation was organized in 2018 to operate a manufacturing business. The following…

A: The purpose of preparing the shareholders equity is to know the net balance position of the total…

Q: Molander Corporation is a distributor of a sun umbrella used at resort hotels. Data concerning the…

A: Step 1: 1) The margin of safety can be calculated by subtracting the breakeven sales from the actual…

Q: None

A: Dear student, after following the steps to calculate the amortization schedule for the bonds issued…

Q: am. 107.

A: The objective of the question is to calculate the plantwide overhead rate using direct labor hours…

Q: For Feet's Sake has two classes of stock authorized: 8%, $10 par preferred, and $1 par value common.…

A: Stockholder's Equity Stockholder's Equity is a part of Financial Statements.The shareholders' equity…

Q: Machine Replacement Decision A company is considering replacing an old piece of machinery, which…

A: Step 1: Determine the proceeds from sale of old machine.Proceeds from sale of old machine =…

Q: Property, Plant, and Equipment (PPE) Assessment: Describe the company’s Property, Plant and…

A: The inquiry is structured into three sections, each addressing various aspects concerning Property,…

Q: Spacely Sprockets' sales budget shows the following expected total sales: Month January February…

A: a. Budgeted Accounts Receivable: 1. Identify Credit Sales: Determine the credit sales for each month…

Q: Carinal Ltd. specializes in the development of electronic components within quite a competitive…

A: Ratio analysis is the process that involves examining the accounts included in the financial…

Q: None

A: Part 2: Explanation:Step 1: Calculate the maximum deductible amount for the IBM stock donation to…

Q: By-product; net realizable value method Weinberg Canning produces fillet, smoked salmon, and salmon…

A: The objective of the question is to allocate the joint cost based on the net realizable value at…

Q: None

A: Step 1: 1) Total Cost of materials purchases for October = Actual Purchase price x Actual Quantity…

Q: On June 3, Pearl Company sold to Chester Company merchandise having a sale price of $5,600 with…

A: Journal Entry:— It is an act of recording transactions in books of account when transaction…

Q: Smith Company can produce two types of carpet cleaners, Brighter and Cleaner. Data on these two…

A: The objective of the question is to determine the breakeven point in total units and sales dollars…

Q: 1 Required information [The following information applies to the questions displayed below.] Manuel…

A: The objective of the question is to calculate the standard overhead rate, the standard overhead…

Q: What is the future value of $10,000 on deposit for 5 years at 6% simple interest?

A: The objective of this question is to calculate the future value of a deposit of $10,000 for 5 years…

Q: In 2022 Charmed, Inc. recorded book income of $420,000. The company's only temporary difference…

A: The objective of the question is to calculate the deferred tax amount that Charmed should record for…

Q: Fill in the missing numbers below.

A: Variance analysis is a tool used in management accounting. In this, we calculate the deviations of…

Q: None

A: Step 1:Part-a General JournalDebitCredit(a)Work in process39,200 Factory overhead8000 Wages…

Q: Ivanhoe Company expects to have a cash balance of $51,750 on January 1, 2020. Relevant monthly…

A: Cash budget is the statement which is prepared by an entity to estimate the cash receipts and cash…

Q: Saratoga Company manufactures jobs to customer specifications. The company is conducting a…

A: To address your questions, let's calculate the required information step by step.Revised activity…

Q: 83. Use the following information (in thousands): Revenues Income from continuing operations…

A: INCOME STATEMENTIncome Statement is one of the Important Financial Statement of the Company. Income…

Q: Analyze the accounting treatment of Property, Plant and Equipment, including depreciation methods…

A: The question is asking for an analysis of the accounting treatment of Property, Plant and Equipment…

Q: 2018: 4. A, non-resident citizen, has the following income within and without the Philippines for…

A: Final Income tax:According to tax treaties, the amount of withholding tax that the nation of source…

Q: Sheridan Motor Corporation bought equipment on January 1, 2025. The equipment cost $420000 and had…

A: Depreciation expense:— It is the allocation of depreciable cost of asset over the estimated useful…

Q: On December 31, 2019, Akron, Inc., purchased 5 percent of Zip Company's common shares on the open…

A: Step 1:Annual Amortisation calculationParticularsAmountExplanationPuchase price of 25% interest…

Q: None

A: Let's break it down:Straight-line depreciation rate = 1 / useful life = 1 / 16 = 0.0625 or…

Q: Required information SB Exercise E8-5 to E8-10 [The following information applies to the questions…

A: The manufacturing costs comprise direct materials, direct labor and manufacturing overhead costs.…

Q: None

A: Note:The purchase of investments in bonds for $97,000 is considered an investing activity.The sale…

Q: Which of the following statements regarding freight costs is true? Oa. FOB destination means that…

A: The inventory is recorded as current assets in the balance sheet . The inventory is recorded…

Q: Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care…

A: The objective of the question is to calculate the cost of goods sold (COGS) and ending inventory for…

Q: 0.55 points eBook Taylor, a single taxpayer, has $17,400 AGI. Assume the taxable year is 2023. Use…

Q: rent Attempt in Progress On July 31, 2025, Wildhorse Company engaged Minsk Tooling Company to…

A: The difference in interest paid between the current rate and the lower rate called as avoided…

Q: Mgungundlovu Plumbers, specialising in plumbing services and material supplies within the…

A: Profit Sharing Ratio: The ratio in which the profit or losses are shared by the partners.New profit…

Q: None

A: Whenever in the common process more than one product is manufacture on a single process cost then…

Q: Fast Feet Inc makes running shoes and they have gathered the following data for the month of…

A: The objective of the question is to determine how much Fast Feet Inc will need to borrow at the end…

Question

8.A company has cost of goods available for sale of $250,000, sales
of $305,000, and a gross profit percentage of 30 percent. Using the
gross profit method, what is the ending inventory?
a. $95,000
b. $50,000
c. $36,500
d. $158,500
9.Which inventory method generally best follows the matching
principle?
a.Average-cost
b.LIFO
c.Whichever method is used for tax purposes
d.FIFO
10.
mhsgeb gnier
In a period of rising prices, which inventory method is best to
use for tax purposes?
nting rec
pupob to
a. FIFO
b. Average-cost
801badong lonnoeeg bnuo d
noltsofthey thobnaqebni olbole?
c. Specific identification
nollensqa b
d. LIFO
1. A good system of internal control is designed to achieve all of the
following except
a. Efficiency of operations
no
b. Reliability of financial reporting
sri yd betelloo estol
300
c. Compliance with relevant laws and regulations
d
d. Attainment of target sales
3
гор
sopiado

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1: Introduction

VIEW

Step 2: Calculation

VIEW

Solution

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Financial Reporting in Hyperinflationary Economies

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Calculate a) cost of goods sold, b) ending inventory, and c) gross margin for A76 Company, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for weighted average (AVG).
Using the following data, how should the inventory be valued under lower of cost or market? Original cost 1,350 Estimated selling price 1,475 Selling expenses 180
Using the following data, how should the inventory be valued under lower of cost or market? Original cost 1,350 Estimated selling price 1,475 Selling expenses 180
Use the last-in, first-out (LIFO) cost allocation method, with perpetual inventory updating, to calculate (a) sales revenue, (b) cost of goods sold, and c) gross margin for A75 Company, considering the following transactions.
Use the last-in, first-out method (LIFO) cost allocation method, with perpetual inventory updating, to calculate (a) sales revenue, (b) cost of goods sold, and c) gross margin for B75 Company, considering the following transactions.
Calculate a) cost of goods sold, b) ending inventory, and c) gross margin for A76 Company, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for last-in, first-out (LIFO).
Kulsrud Company would like to estimate the current inventory level. Using the gross profit method and the following information, estimate the current inventory level for Kulsrud Company. Goods available for sale 100,000 Net sales 150,000 Normal gross profit as a percent of sales 40%
Black Corporation uses the LIFO cost flow assumption. Each unit of its inventory has a net realizable value of 300, a normal profit margin of 35, and a current replacement cost of 250. Determine the amount per unit that should be used as the market value to apply the lower of cost or market rule to determine Blacks ending inventory.
Calculate the cost of goods sold dollar value for B67 Company for the month, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for weighted average (AVG).
Calculate the cost of goods sold dollar value for A74 Company for the sale on March 11, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average (AVG).
LO1 If the ending inventory is overstated by 10,000, indicate what, if anything, is incorrect about the following: Cost of goods sold___________ Gross profit___________ Net income___________ Ending owners capital___________
Calculate the cost of goods sold dollar value for B74 Company for the sale on November 20, considering the following transactions under three different cost allocation methods and using perpetual inventory updating. Provide calculations for (a) first-in, first-out (FIFO); (b) last-in, first-out (LIFO); and (c) weighted average (AVG).