Oro Company began operations on January 1, 2021 and appropriately uses the installment sales method of accounting. The followin data are available for 2020 and 2021: 2020 2021 Installment sales 1,500,000 1,800,000 Gross profit on sales 30% 40% Cash collections from: 2020 sales 500,000 600,000 2021 sales 700,000 The realized gross profit for 2021 is: 720,000 520,000 460,000 280,000

Oro Company began operations on January 1, 2021 and appropriately uses the installment sales method of accounting. The followin data are available for 2020 and 2021: 2020 2021 Installment sales 1,500,000 1,800,000 Gross profit on sales 30% 40% Cash collections from: 2020 sales 500,000 600,000 2021 sales 700,000 The realized gross profit for 2021 is: 720,000 520,000 460,000 280,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Below information is excerpt from ABC Company's Dec. 31, 2021 financial records:
Company M uses the cost recovery method. During 19A, it sells goods with a cost of $15,000 for $25,000, payable in installments of $10,000, $10,000 and $5,000, respectively, beginning in 19A. How much profit should be recognized each year?
What is Naboo Manufacturing's 2019 Current Ratio?
The following trial balance relates to Queenie as at 30 September 2019: RM'000RM'000 Revenue (note (i)) 312,890 Cost of sales 148,900 Distribution costs 42,125 Administrative expenses (note (ii))34,680 Loan note interest and dividend paid (notes (ii) and (iii)) 19,500 Investment income3200 Equity shares of 25 cents each 50,000 5% loan note (note (ii)) 30,000 Retained earnings at 1 October 20187,300 Plant and equipment at cost (note (iv)) 90,000 Accumulated depreciation at 1 October 2018: plant and equipment 32,400 Equity financial asset investments (note (v))40,000 Inventory at 30 September 201930,040 Trade receivables 42,900 Bank10,845 Current tax (note (vi)) 1,100 Deferred tax (note (vi)) 900 Trade payables23,400 460090460090 The following notes are relevant: (i) On 1 October 2018, Queenie sold one of its products for RM12 million (included in revenue in the trial balance). As part of the sale agreement, Queenie is committed to the ongoing servicing of this product until 30…
Holden Company reports Interest Expense of $325,000 on its 2020 Income Statement. Holden's Balance Sheet shows Interest Payable of $30,000 as of 12/31/20 and $50,000 as of 12/31/19. How much Cash did Holden pay for interest in 2020? $405,000 $305,000 $325,000 $345,000
On January 1, 2021, the general ledger of Grand Finale Fireworks includes the following account balances:Accounts Debit CreditCash $ 42,700Accounts Receivable 44,500Supplies 7,500Equipment 64,000Accumulated Depreciation $ 9,000Accounts Payable 14,600Common Stock, $1 par value 10,000Additional Paid-in Capital 80,000Retained Earnings 45,100Totals $ 158,700 $ 158,700During January 2021, the following transactions occur:January 2 Issue an additional 2,000 shares of $1 par value common stock for $40,000.January 9 Provide services to customers on account, $14,300.January 10 Purchase…
E4-29 Mattson Loan Company completed these transactions: 2019 Apr. Dec. 2020 Apr. 1 Loaned $20,000 to Charlene Baker on a one-year, 5% note. 31 Accrued interest revenue on the Baker note. 1 Collected the maturity value of the note from Baker (principal plus interest). Show what Mattson would report for these transactions on its 2019 and 2020 balance sheets and income statements. Mattson's accounting year ends on December 31.
Refer to the 3.00% senior notes due May 2027. Calculate the interest expense on this note for fiscal year 2022.
Karr Co. began operations on January 1, 2009 and appropriately uses the installment method of accounting. The following information pertains to Karr's operations for 2009: Installment sales 800,000 Cost of installment sales 480,000 General and administrative expenses 80,000 Collections on installment sales 300,000 The balance in the deferred gross profit account at December 31, 2009 should be
71. Sbject :- Accounting
1. Trekker Company reports gross profit on the installment basis. The following data are available 2018 2019 2020 Installment sales Cost of goods – installment sales Gross profit 240,000 180,000 60,000 250,000 181,250 68,750 300,000 216,000 84,000 Collections 2018 installment contracts 2019 installment contracts 2020 installment contracts 75,000 47,500 72,500 80,000 62,500 45,000 Defaults Unpaid balance of 2018 installment contracts Value assigned to repossessed merchandise Unpaid balance of 2019 installment contracts Value assigned to repossessed merchandise 15,000 6,000 16,000 9,000 12,500 6,500 REQUIRED: COMPUTE THE REALIZED GROSS PROFIT BEFORE LOSS ON REPOSSESSION FOR 2020 AND THE LOSS ON REPOSSESSION FOR 2020.
ssume General Motors announced a quarterly profit of $119 million for 4th quarter 2019. Below Is a portion of its Conduct a horizontal analysis of the following line items. (Negative answers should be indicated by a minus sige percent" answers to the nearest hundredth percent.) 2018 (dollars in millions) Difference % CHG 2019 (dollars in millions) $ 086 9,222 Cash and cash equivalents 16,148 14,324 Marketable securities 13.642 Inventories 144,603 Total lablites and equity F5 F6 F8 F10 F1 F12 Home