The following information is available for the Brown Company for 2016: Gross profit  $30,000 Net sales       500,000 Beginning inventory 220,000 Ending inventory 40,000 What was the amount of net purchases? a. $290,000 b. $210,000 c. $180,000 d. $150,000

The following information is available for November 2018, for Golden Company. Beginning inventory $ 80,000 Purchases 300,000 Purchase return 20,000 Sales 500,000 Sales discount 50,000 Gross profit percentage of sales Using the gross profit method, the estimated ending inventory is: 25% OA. $50,000 OB. $22,500 OC. $30,000 OD. $85,000

Following is an incomplete current-year income statement. Determine Net Sales, Cost of goods sold and Net Income. Additional information follows: Return on total assets is 16% (average total assets is $62,500). Inventory turnover is 5 (average inventory is $7,800). Accounts receivable turnover is 8 (average accounts receivable is $7,700). Income Statement Net Sales   Cost of goods sold   Selling, general, and administrative expenses 8800 Income tax expenses 3800 Net Income

LOGIC COMPANY     Comparative Income Statement     For Years Ended December 31, 2017 and 2018                       2018 2017   Gross sales $ 23,800   $ 18,600     Sales returns and allowances   1,000     100     Net sales $ 22,800   $ 18,500     Cost of merchandise (goods) sold   10,800     7,200     Gross profit $ 12,000   $ 11,300     Operating expenses:               Depreciation $ 1,180   $ 840     Selling and administrative   5,800     4,400     Research   1,030     740     Miscellaneous   840     540     Total operating expenses $ 8,850   $ 6,520     Income before interest and taxes $ 3,150   $ 4,780     Interest expense   1,040     740     Income before taxes $ 2,110   $ 4,040     Provision for taxes   844     1,616     Net income $ 1,266   $ 2,424         LOGIC COMPANY     Comparative Balance Sheet     December 31, 2017 and 2018                   2018 2017   Assets               Current assets:               Cash $…

Lewis Incorporated and Clark Enterprises report the following amounts for the year.    Lewis Clark Inventory (beginning) $29,000 $55,000 Inventory (ending) 23,000 65,000 Purchases 339,000 177,000 Purchase returns 20,000 65,000 Required:1. Calculate cost of goods sold for each company.2. Calculate the inventory turnover ratio for each company.3. Calculate the average days in inventory for each company.4. Which company appears to be managing its inventory more efficiently?

Given the following information, how many times does the firm turnover its inventory during the year? Beginning inventory = $50,000 Ending inventory = $45,000 Beginning Accounts Receivable = $60,000 Ending Accounts Receivable = $66,000 Beginning Accounts Payable = $70,000 Ending Accounts Payable = $84,000 Sales = $1,000,000 % credit sales = 60% Cost of goods sold = $450,000 Multiple Choice 5.8 times 38.3 days 9.5 times

The following information is available for Sandhill Co. for three recent fiscal years.     2017   2016   2015 Inventory   $562,019   $571,288   $327,592 Net sales   1,955,632   1,697,750   1,304,721 Cost of goods sold   1,522,434   1,280,731   939,086 Calculate the inventory turnover, days in inventory, and gross profit rate for 2017 and 2016. (Round inventory turnover to 1 decimal place, e.g. 5.2, days in inventory to 0 decimal places, e.g. 125 and gross profit rate to 1 decimal place, e.g. 5.2%.)     2017   2016 Inventory Turnover     times     times Days in Inventory     days     days Gross Profit Rate     %     %

The Cullumber Supply Company reported the following information for 2017. Prepare a common-size income statement for the year ended June 30, 2017. (Round answers to 1 decimal place, e.g. 52.7%.) Cullumber Supply CompanyIncome Statement for the Fiscal Year Ended June 30, 2017($ thousands)         % of Net Sales   Net sales   $2,111,000   enter percentages of net sales %   Cost of goods sold   1,464,000   enter percentages of net sales %   Selling and administrative expenses   312,200   enter percentages of net sales %   Nonrecurring expenses   27,600   enter percentages of net sales %   Earnings before interest, taxes, depreciation, and amortization (EBITDA)   $307,200   enter percentages of net sales %   Depreciation   117,000   enter percentages of net sales %   Earnings before interest and taxes (EBIT)   190,200   enter percentages of net sales %   Interest expense   118,600   enter percentages of net sales %   Earnings before taxes (EBT)…

The income statement of Bob Christiana Company is presented here. BOB CHRISTIANA COMPANY Income Statement For the Year Ended November 30, 2012 Sales revenue   $7,700,000 Cost of goods sold       Beginning inventory   Purchases $1,900,000 4,400,000   Goods available for sale Ending inventory 6,300,000 1,400,000   Total cost of goods sold   4,900,000 Gross profit   2,800,000 Operating expenses   1,150,000 Net income   $1,650,000 Additional information: Accounts receivable increased $380,000 during the year, and inventory decreased $250,000. Prepaid expenses increased $170,000 during the year. Accounts payable to suppliers of merchandise decreased $340,000 during the year. Accrued expenses payable decreased $50,000 during the year. Operating expenses include depreciation expense of $110,000. Instructions Prepare the operating activities section of the statement of cash flows for the year ended November 30, 2012, for…

LOGIC COMPANY     Comparative Income Statement     For Years Ended December 31, 2017 and 2018                       2018 2017   Gross sales $ 20,400   $ 16,050     Sales returns and allowances   900     100     Net sales $ 19,500   $ 15,950     Cost of merchandise (goods) sold   11,650     8,650     Gross profit $ 7,850   $ 7,300     Operating expenses:               Depreciation $ 840   $ 670     Selling and administrative   3,250     2,700     Research   690     570     Miscellaneous   500     370     Total operating expenses $ 5,280   $ 4,310     Income before interest and taxes $ 2,570   $ 2,990     Interest expense   700     570     Income before taxes $ 1,870   $ 2,420     Provision for taxes   748     968     Net income $ 1,122   $ 1,452         LOGIC COMPANY     Comparative Balance Sheet     December 31, 2017 and 2018                   2018 2017   Assets               Current assets:               Cash $ 12,700   $…