On January 1, 2021, vwv Shop received from ABC 300 pieces of bread toasters. VV was to sell these on consignment at 50% above original cost, for a 15% commission on the selling price. After selling 200 pieces, wV had the remaining unsold units repaired for some electrical defects for which he spent P2,000. ABC subsequently increased the selling price of the remaining units to P330 per unit. On January 31, 2021, VV remitted P64,980 to ABC after deducting the 15% commission, P850 for delivery expenses of sold units, and P2,000 for the repair of 100 units. The consigned goods cost ABC P200 per unit, and P900 had been paid to ship them to VWv Shop. All expenses in connection with the consignment were reimbursable to the consignee. Determine the value inventory to be presented in the statement of financial Position.
Q: On March 10, 2020, Steele Company sold to Barr Hardware 200 tool sets at a price of $50 each (cost…
A:
Q: During 2021, Truffle Company sold 500,000 boxes of hotcakes under a new sales promotional program.…
A: The unredeemed coupon is treated as a liability because the company either has to provide goods or…
Q: dollars (b) Compute the profit for the consignor for the units sold. Profit on consignment sales…
A: Given information is: On May 3, 2020, Tamarisk Company consigned 80 freezers, costing $490 each, to…
Q: On January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these…
A: Consignment Account In the consignment account consignor send the goods to the consignee in a…
Q: unland Company sells goods that cost $300,000 to Marigold Company for $400,000 on January 2, 2020.…
A:
Q: On August 5, 2021, Sheridan Furniture shipped 40 dining sets on consignment to Furniture Outlet,…
A: In case of consignment sales, one party consignor consigns or issues goods to another party…
Q: On January 1, 2030, KKK consigned 300 units of gaming keyboards to SSS Each keyboard costs P400 and…
A: Consignment means where consignor send goods to consignee to be sold by later on the behalf of…
Q: During 2020, ABC Company signed a non-cancelable contract with XYZ Company to purchase 5,000 units…
A: It is a commitment made by the buyer to seller that the purchase of goods at the agreed price…
Q: Regal Appliances consigned 60 television sets to Gal Company on January 1, 2020 for sale at P10,800…
A: Consignment sales are sales made by GAL on behalf of Regal.
Q: On March 31, Higgins Repair Service extended an offer of 415, 000.00 for the Lathe Machines that has…
A: Historical cost concept of accounting says that assets should be recorded in books of accounts at…
Q: At the beginning of the current year, Clan Company offers the customers a pottery bowl if they send…
A: Liability represents the obligation that has to be paid by the company by sacrificing the assets of…
Q: The amount of cash received by Faura is
A: Consignment refers to an agreement between two parties in which the goods or merchandise are…
Q: Basti Co. delivered 150 portable gas stoves to Sarah Co. on consignment. These stoves cost P2,700…
A: Step 1 Consignment is an arrangement in which goods are left in the possession of an authorized…
Q: ABC Co., consigned 5 dozen of stainless chairs to DEF Co on April 1. 2021. Each chair cost P120 and…
A:
Q: On January 1, 2021, VVV received from ABC 300 pieces of bread toaster. VV was to sell these on…
A: Inventory value is the total cost associated with that stock on acquiring or storing of acquiring…
Q: On January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these…
A: In Consignment Accounting we prepare Consignment A/c which is like a…
Q: On May 3, 2020, Flint Company consigned 80 freezers, costing $450 each, to Remmers Company. The cost…
A: Given information is: Goods consigned 80 freezers costing $450 each
Q: During 2021, Tartarus Company signed a noncancellable contract to purchase 500 sacks of rice at P900…
A: Solution: Amount of Purchases should be recorded on May 9, 2022 = Nos of sacks purchases * Price per…
Q: During 2015, AD Company signed a non-cancelable contract with BARD Company to purchase 5,000,…
A: Units purchased=5,000 Price=P1,700 Price fallen to=P1,680 Further decrease=P1,540
Q: Oriole Company sells goods that cost $320,000 to Sheffield Company for $435,000 on January 2, 2020.…
A: Introduction: Sales revenue: Revenue generated on selling of goods called as Sales revenue.
Q: During 2021, Tartarus Company signed a noncancellable contract to purchase 500 sacks of rice at P900…
A: Answer with explanation are as follows.
Q: On October 2, 2020, Ivanhoe Company sold $5,630 of its elite camping gear (with a cost of $3,320) to…
A: Sales Agreement: An contract of sale specifies the terms and conditions under which the seller will…
Q: On October 1, CLARK Co shipped 25 cameras to KENT Inc on consignment. The cameras are to be sold at…
A: Consignment is an arrangement where there are two parties cosignor and consignee and they have a…
Q: Stellar Inc. sells an irrigation system that cost $184,000 to McGraw Company for $365,000 on March…
A: The question is based on the concept of Financial Accounting.
Q: Compute Premium Liability in 2019.
A: Premium Liability is the expected amount of redemptions yet to be for the year 2019 Premium…
Q: Basti Co. delivered 150 portable gas stoves to Sarah Co. on consignment. These stoves cost P2,700…
A: Consignment: Consignment accounting is the process of accounting for both consignor and consignee…
Q: During 2020, BIOT Company signed a non-cancelable contract with BTS Company to purchase 5,000 units…
A: Formula: Loss on purchase = contract signed price - decrease in price.
Q: On January 1, 2021, ww Shop received from ABC 300 pieces of bread toasters. WV was to sell these on…
A: Consignment: A consignment agreement is one in which items are left in the hands of a third party…
Q: On August, 2019, KBO consigned to UFO 10 laptops costing P15,000 each, paying freight charge c…
A: Given, Purchase price is P15,000 Selling price is P30,000 Commission is 20% on sale price Freight…
Q: ABC Co. delivered 150 portable gas stoves to DEF Co. on consignment. These stoves cost P2,700 each…
A: Given, Cost of stove is P2,700 Sold price is P4,500 Commission is 15% of selling price Advertising…
Q: INTEGRITY, Inc. consigned 1,000 units of ordinary printer, costing P700 each to PUP Co. to be sold…
A: Net income is calculated by deducting all expenses related to consignment from sales and adding…
Q: What is the inventory value of the units unsold in the hands of the consignee? A. 150,000 C. 154,500…
A: The answer for the multiple choice questions and relevant working are presented hereunder : Cost of…
Q: of 15% of selling price. The MJ Company paid shipping costs of P200 on the shipment.…
A: Consignment Sales: Consignment involves leaving things with a third party (Consignee) to sell. Once…
Q: On August 15, 2020, Japan Ideas consigned 770 electronic play systems, costing $100 each, to YoYo…
A: In case of consignment of goods, the inventory value in hands of consignee should include the cost…
Q: January 1, 2010, Ace Hardware received from Do-It-Yourself Shop 300 pieces nicrowave ovens. Ace…
A: Consignment : It is the way of business to sell the goods, in this process goods send by the owner…
Q: SM Appliances consigned five electric fans, which cost P800,000 each, to Asahi Marketing Co., which…
A: Cash remittance to cosigner by consignee will be calculated as the cash collections made by the…
Q: Attractive Company sold a Ford Escape car costing P620,280 for P960,000 on August 1, 2021. A used…
A: Attractive Company sold a Ford Escape car costing P620,280 for P960,000 on August 1, 2021. A used…
Q: XYZ CO. delivered 150 portable gas stoves to DEF CO. on consignment. These stoves cost P2,700 each…
A: The question is based on the concept of Business Accounting.
Q: During 2020, Day Company sold 500,000 boxes of cake mix under a new sales promotional program. Each…
A: Premium (Gift) means the product given free of cost to the customer on fulfilling the certain…
Q: Basti Co. delivered 150 portable gas stoves to Sarah Co. on consignment. These stoves cost P2,700…
A: Basti co. sent the goods on consignment = 150 portable stoves Cost per each stove = P2700 Goods sent…
Q: Wildhorse Manufacturing Inc. is a local manufacturing company. Rather than sell its product…
A: Following are the requisite journal entries
Q: Using the five-step process for revenue recognition, determine when and how much revenue would be…
A: Five Step Process: Step 1: Identify the contract with customers Step 2: Identify the separate…
Q: On March 10, 2020, Steele Company sold to Barr Hardware 200 tool sets at a price of $50 each (cost…
A: a. Prepare journal entries for Steele Company:
Q: ABC Co., consigned 5 dozen of stainless chairs to DEF Co. on April 1, 2021. Each chair cost P120 and…
A: Consignment is a form of agreement or contract between two parties, in which one party provides or…
Q: On June 1, 2020, Mylene Company sells a new car costing P1,620,000 for P2,268,000. A used car is…
A: Gross profit refers to the profit which is earned by the company after deducting all it’s production…
Q: ivery and installation for each set. Commission is to be 25% of the sales price. On October 31, KENT…
A: Total expenditure incurred on the Consignment : Cost of Goods sent on Consignment P 250,000 ( 25 ×…
Q: ABC Co. delivered 150 portable gas stoves to DEF Co. on consignment. These stoves cost P2,700 each…
A: Consignment means where consignor send goods to consignee to be sold by later on the behalf of…
Q: On October 2, 2020, Laplante Company sold $6,000 of its elite camping gear (with a cost of $3,600)…
A: a. Prepare journal entries for Laplante to record (1) the sale on October 2, 2020, (2) the granting…
Q: ABC Co. delivered 150 portable gas stoves to DEF Co. on consignment. These stoves cost P2,700 each…
A: The question is based on the concept of Business Accounting.
Q: Commando Corp. agrees to sell 100 of its products to M&H Co. for P30,000 in August 2021. (P300 per…
A: The original sale price of the products before alteration will not be modified. As previously…
Step by step
Solved in 2 steps with 2 images
- On January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these on consignment at 50% above original cost, for a 15% commission on the selling price. After selling 200 pieces, vV had the remaining unsold units repaired for some electrical defects for which he spent P2,000. ABC subsequently increased the selling price of the remaining units to P330 per unit. On January 31, 2021, VVV remitted P64,980 to ABC after deducting the 15% commission, P850 for delivery expenses of sold units, and P2,000 for the repair of 100 units. The consigned goods cost ABC P200 per unit, and P900 had been paid to ship them to WV Shop. All expenses in connection with the consignment were reimbursable to the consignee. Determine the value inventory to be presented in the statement of financial Position.On January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these on consignment at 50% above original cost, for a 15% commission on the selling price. After selling 200 pieces, vV had the remaining unsold units repaired for some electrical defects for which he spent P2,000. ABC subsequently increased the selling price of the remaining units to P330 per unit. On January 31, 2021, VV remitted P64,980 to ABC after deducting the 15% commission, P850 for delivery expenses of sold units, and P2,000 for the repair of 100 units. The consigned goods cost ABC P200 per unit, and P900 had been paid to ship them to VV Shop. All expenses in connection with the consignment were reimbursable to the consignee. Determine the value inventory to be presented in the statement of financial Position.On January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these on consignment at 50% above original cost, for a 15% commission on the selling price. After selling 200 pieces, VVV had the remaining unsold units repaired for some electrical defects for which he spent P2,000. ABC subsequently increased the selling price of the remaining units to P330 per unit. On January 31, 2021, VVV remitted P64,980 to ABC after deducting the 15% commission, P850 for delivery expenses of sold units, and P2,000 for the repair of 100 units. The consigned goods cost ABC P200 per unit, and P900 had been paid to ship them to VVV Shop. All expenses in connection with the consignment were reimbursable to the consignee. Determine the value inventory to be presented in the statement of financial Position.
- On January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these on consignment at 50% above original cost, for a 15% commission on the selling price. After selling 200 pieces, VVV had the remaining unsold units repaired for some electrical defects for which he spent P2,000. ABC subsequently increased the selling price of the remaining units to P330 per unit. On January 31, 2021, VVV remitted P64,980 to ABC after deducting the 15% commission, P850 for delivery expenses of sold units, and P2,000 for the repair of 100 units. The consigned goods cost ABC P200 per unit, and P900 had been paid to ship them to VVV Shop. All expenses in connection with the consignment were reimbursable to the consignee. Determine the value inventory to be presented in the statement of financial Position. Please provide a good accounting form for the solutionOn January 1, 2021, VVV Shop received from ABC 300 pieces of bread toasters. VVV was to sell these on consignment at 50% above original cost, for a 15% commission on the selling price. After selling 200 pieces, V had the remaining unsold units repaired for some electrical defects for which he spent P2,000. ABC subsequently increased the selling price of the remaining units to P330 per unit. On January 31, 2021, VVV remitted P64,980 to ABC after deducting the 15% commission, P850 for delivery expenses of sold units, and P2,000 for the repair of 100 units. The consigned goods cost ABC P200 per unit, and P900 had been paid to ship them to VV Shop. All expenses in connection with the consignment were reimbursable to the consignee. Determine the value inventory to be presented in the statement of financial Position.On May 2, 2019 PIONEER, PHILS INC. Ships ten (10) Compact Disc Stereo to KALIDAD Appliance Center. Each Stereo system costs P10,000 and is to be sold at an advertised price of P14,000. PIONEER Paid freight in the amount of P1,200 while KALIDAD incurred a cartage of P500, which is reimbursable. The consignee is entitled to a commission of 20% of the authorized selling price. The Consignee sold all the units and remitted the balance due to the consignor along with the account sales. Required: 1. Prepare the journal entries in the books of the consignee
- On May 2, 2019 PIONEER, PHILS INC. Ships ten (10) Compact Disc Stereo to KALIDAD Appliance Center. Each Stereo system costs P10,000 and is to be sold at an advertised price of P14,000. PIONEER Paid freight in the amount of P1,200 while KALIDAD incurred a cartage of P500, which is reimbursable. The consignee is entitled to a commission of 20% of the authorized selling price. The Consignee sold all the units and remitted the balance due to the consignor along with the account sales. Required: 1. Prepare the account salesProvide a better solution On January 1, 2021, VVV received from ABC 300 pieces of bread toaster. VV was to sell these on consignment at 50% above original cost, for a 15% commission on the selling price. After selling 200 pieces, VVV had the remaining unsold units repaired for some electrical defects which he spent P2,000. ABC subsequently increased the selling price of the remaining units to P330 per unit. On January 31,2021, VVV remitted P64,980 to ABC after deducting the 15% commission, P850 for delivery expenses of sold units, and P2,000 for the repair of 100 units. The consignment goods cost ABC P200 per unit, and P900 had been paid to ship them to VVV shop. All expenses in connection with the consignment were reimbursable to the consignee. Determine the value inventory to be presented in the statement of financial position.On January 1, 2030, KKK consigned 300 units of gaming keyboards to SSS Each keyboard costs P400 and is sold at 50% above cost. After selling 200 keyboards, the remaining 200 units were repaired for some defects for P4,000. Because of this, SSS increased the selling price by P60. At the end of the month, SSS remitted P129,960 after deducting 15% commission, and reimbursable expenses of P1700 delivery expense and the P4,000 repair of the 100 units. How many consigned units were sold?
- On May 2, 2019 PIONEER, PHILS INC. Ships ten (10) Compact Disc Stereo to KALIDAD Appliance Center. Each Stereo system costs P10,000 and is to be sold at an advertised price of P14,000. PIONEER Paid freight in the amount of P1,200 while KALIDAD incurred a cartage of P500, which is reimbursable. The consignee is entitled to a commission of 20% of the authorized selling price. The Consignee sold all the units and remitted the balance due to the consignor along with the account sales. Required: 1. Prepare the journal entries in the books of hte consignee 2. Prepare the account salesOn October 2, 2020, Laplante Company sold $6,000 of its elite camping gear (with a cost of $3,600) to Lynch Outfitters. As part of the sales agreement, Laplante includes a provision that if Lynch is dissatisfied with the product, Laplante will grant an allowance on the sales price or agree to take the product back (although returns are rare, given the long-term relationship between Laplante and Lynch). Lynch expects total allowances to Lynch to be $800. On October 16, 2020, Laplante grants an allowance of $400 to Lynch because the color for some of the items delivered was a bit different than what appeared in the catalog. Instructions a. Prepare journal entries for Laplante to record (1) the sale on October 2, 2020, (2) the granting of the allowance on October 16, 2020, and, (c) any adjusting required on October 31, 2020 (when Laplante prepares financial statements). Laplante now estimates additional allowances of $250 will be granted to Lynch in the future. b. Indicate the…Yellow Company, a distributor of machinery, bought a machine from the manufacturer in November 2020 for P500,000. On December 30, 2020, the entity sold this machine for P750,000 under the following terms: 2% discount if paid within 30 days, 1% discount if paid after 30 days, or payabl e in full within ninetydays if not paid within the discount periods. However, the customer had the right to return this machine to Yellow Company if it was unable to resell the machine before the expiration of the ninety-day payment period, in which case the customer’s obligation to Yellow Company would be canceled. In the net sales for the year ended december 31,2020, what amount should be included for the sale of the machine? a. 750,000 b. 735,000 c. 742,500 d. 0