Surfs Up P/L is a national retailer that sells a range of surfing and water sport equipment (surfboards, clothing, etc.) with an annual turnover of $60 million. Surfs Up purchases “Billapro” surfboards for $440 each from Billapong P/L, a large manufacturer of surfboards located at Gold Coast with an annual turnover of around $45 million, this was their only sale for the month. Surfs Up plans to sell the Surfboards at a 200% mark-up to its customers. In October last year it purchased 370 surfboards but a couple of months later (December) they discovered that 14 of the surfboards were faulty and subsequently returned these faulty surfboards to the manufacturer, obtaining a full refund. Assume both apply the accrual method of accounting. Requirement: Explain the GST consequences of this arrangement for both companies

Country Jeans Co. has an annual plant capacity of 65,600 units, and current production is 46,300 units. Monthly fixed costs are $41,400, and variable costs are $25 per unit. The present selling price is $34 per unit. On November 12 of the current year, the company received an offer from Miller Company for 16,100 units of the product at $26 each. Miller Company will market the units in a foreign country under its own brand name. The additional business is not expected to affect the domestic selling price or quantity of sales of Country Jeans Co. Question Content Area a.  Prepare a differential analysis dated November 12 on whether to reject (Alternative 1) or accept (Alternative 2) the Miller order. If an amount is zero, enter zero "0". For those boxes in which you must enter subtracted or negative numbers use a minus sign. Differential AnalysisReject Order (Alt. 1) or Accept Order (Alt. 2)November 12   RejectOrder(Alternative 1) AcceptOrder(Alternative 2)…

Spartan Corporation, a U.S. company, manufactures green eyeshades for sale in the United States and Europe. All manufacturing activities take place in Michigan. During the current year, Spartan sold 8,400 green eyeshades to European customers at a price of $ 10.40 each. Each eyeshade costs $4.20 to produce. For each independent scenario, determine the source of the gross income from sale of the green eyeshades. b. Half of Spartan's production assets are located outside the United States.

QT, Inc. and Elppa Computers, Inc. compete with each other in the personal computer market. QT assembles computers to customer orders, building and delivering a computer within four days of a customer entering an order online. Elppa, on the other hand, builds computers for inventory prior to receiving an order. These computers are sold from inventory once an order is received. Selected financial information for both companies from recent financial statements follows (in millions):   QT Elppa Sales $35,040   $46,400   Cost of goods sold 29,200   43,800   Inventory, beginning of period 932   4,028   Inventory, end of period 1,132   4,828   a.  Determine for both companies (1) the inventory turnover and (2) the number of days' sales in inventory. Round your calculations and answers to one decimal place. Assume 365 days a year. (refer to image) b.  QT has a ______ (higher/lower) inventory turnover ratio than does Elppa Company. Likewise, QT has a _____ (larger/smaller) number…

Green Lantern, a pub & grill estimates that it will sell 10 000 beers per year which it will purchase from a distributor in Luanshya. A beer costs K18.00 to purchase and K2.00 in freight charges each. The company borrows funds at 9 % interest rate to finance inventories. Green Lantern’s purchasing agent has calculated that it costs K50.00 to place an order for beers and that the handling is K3.00 for each beer.1. Calculate the number of beers that Green Lantern should request in each order2. Calculate the annual number of orders3. Calculate the total annual ordering cost

RAZR WIRELESS sells a variety of mobile telephone accessories including several brands of Wireless Earbuds Bluetooth Headphones. The earbuds are sold in cases, with each case containing a pair of earbuds. RAZR began the last quarter (October to December) of 2021 with 30 cases of the (TOZO T6) earbuds at a total cost of $187,800. During the quarter the business completed the following transactions relating to the "TOZO T6" earbuds: October 8 October 31 November 4 November 10 November 30 December 4 December 10 December 30 December 31 Owing to an increased demand, a further 115 cases were purchased at a cost of $7,900 each; these were subject to a trade discount of 2% on each case. 121 cases were sold during December at a unit selling price of $11,085. An actual count of inventory was carried out which revealed that there were 34 cases of the "TOZO T6" brand of merchandise in the storeroom. Unless otherwise stated, assume that all purchases were on account and received on the dates…

Pacifica Fitness Ltd is marketing a fitness package' in which, for $410, it provides customers with a 6-month gym membership (which retails separately for $540, a gym bag (which retails separately for $33) and five free zumba classes (which retail separately for 68). You are required to determine: a) Separate performance obligations and how much of the transaction price to allocate to each performance obligation.   b) Pacifica Fitness Ltd sold 17 packages advance and receive first payment on 30 May 2023. The reporting period is 30 June 2023. Provide the accounting entries to record the receipt of the cash and the subsequent reporting date adjustment.   c) What is the balance of revenue and liability account impacted by the above transaction (item b) at 30 August 2023.

Davidson Yachts is a small company founded by two businesspeople who are friends and avid sailors. At present, they are interested in expanding the business and have asked you to review its financial statements.   Davidson Yachts sells approximately 130 to 180 sailboats each year, ranging from 15-foot dinghies to 21-foot sailboats. Their sales prices range from $2,300 to more than $10,300. The company has a limited inventory of boats consisting primarily of one or two boats from each of the four manufacturers that supply Davidson. The company also sells a variety of supplies and parts and performs different types of service. Most sales are on credit.   The company operates from a large building that has offices, storage, and sales space for some of the smaller sailboats. The larger sailboats are kept in a fenced area adjacent to the main building, and an ample parking area is nearby. This year, Davidson purchased a boat lift to haul boats. The lift has brought in revenues for boat…

n Chocolove is a chocolate manufacturer with headquarters and a manufacturing facility in Boulder, Colorado. Assume a three-year scenario during which Chocolove's cost of goods increased by $1 per unit each year from $10 to $11 to $12. It priced its goods to achieve a 50% gross profit per unit (.e. 100% markup). In years 1 and 2, Chocolove buys 1,000 units but sells only 700 units. In year 3, Chocolove buys 700 units, sells 1,300. Assume Chocolove follows LIFO. The profit margin in year 2. and the profit margin in year 3 Select one: O a. 50%; >50% O b. 50%; 50%; > 50% 17

Melbourne Awesome Ltd supplies a wide range of folding bicycles. Melbourne Awesome Ltd derives Australiansourced income for the current tax year comprising net income from trading of $80,000, franked distributionfrom public companies amounting to $28,000, (carrying an imputation credit of $12,000), unfrankeddistributions from resident private companies amounting to $25,000 and rental income of $5,500. MelbourneAwesome Ltd also have total deductions (Business Expenses) totaling $55,000.Required:Calculate the net tax payable by All Sports Ltd for the year ended 30 June 2019. (Assume company tax rate is30%)