EBK ACCOUNTING PRINCIPLES
13th Edition
ISBN: 9781119411017
Author: Weygandt
Publisher: WILEY
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Luxe Mobile Homes reported the following in its financial statements for the year ended December 31, 2024:
(Click the icon to view the financial statements)
Read the requirements.
Requirement 1. Compute the collections from customers.
Collections from customers are $ 24.444
Requirement 2. Compute payments for merchandise inventory.
Payments for merchandise inventory are $ 18,560
Requirement 3. Compute payments of other operating expenses.
Payments of other operating expenses are S 4.324
Requirement 4. Compute acquisitions of property, plant, and equipment (no sales of property during 2024).
Acquisitions of property, plant, and equipment are
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Income Statement
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Depreciation Expense
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Balance Sheet
Cash
Accounts Receivable
Merchandise Inventory
Property, Plant, and Equipment, net
Accounts Payable
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- Luxe Mobile Homes reported the following in its financial statements for the year ended December 31, 2024: (Click the icon to view the financial statements) Read the requirements. Data table Requirement 1. Compute the collections from customers. Collections from customers are $ 24,444 Requirement 2. Compute payments for merchandise inventory. Payments for merchandise inventory are $ 18,560 Requirement 3. Compute payments of other operating expenses. Payments of other operating expenses are $ 4,324 Requirement 4. Compute acquisitions of property, plant, and equipment (no sales of property Acquisitions of property, plant, and equipment are S 1,186 Requirement 5. Compute the amount of borrowing, with Luxe paying no long-term liabilities. Borrowings, with Luxe paying no long-term liabilities, are Help me solve this Demodocs example Get more help - Income Statement $ CA $ Net Sales Revenue Cost of Goods Sold Depreciation Expense Other Operating Expenses Income Tax Expense Net Income Balance…arrow_forwardA čompany uses a perpetual system to record inventory transactions. The company purchases inventory on account on February 9, 2021, for $57,000 and then sells this inventory on account on March 7, 2021, for $74,000. Record the transactions for the purchase and sale of the inventory. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.) View transaction list EX: ...... Record the purchase of inventory on account. 2 Record the sale of inventory on account. Record the cost of inventory sold. Credit Note : journal entry has been entered %3D View general journal Clear entry Record entryarrow_forwardThe ABC sole proprietorship deals with the trade of IT items and the provision of related services. Carry out the adjustment entries of the accounts for the fiscal year 20X6 as well as those for the determination of the gross profit taking into account the following information: For the accounting of inventories, the company applies a periodic inventory and evaluates the inventories using the weighted average cost method. The company trades the kind P. The initial inventory consists of 20 units with a purchase price of € 50 per unit. In the fiscal year, 20X6 bought 80 units for € 55 per unit and 80 units for € 60 per unit. In the inventory of 31/12/20X6, the stocks in the warehouse consist of 30 units whose liquidation price amounts to € 55 per unit. Total gross merchandise sales amounted to €45,000 and sales returns to €400. During the 20x6 fiscal year, the company had purchased $1,000 at a $200 exchange rate= € 1. On 31/12/20X6, the current USD exchange rate is $1 =€ 1.2. The…arrow_forward
- A company uses a perpetual system to record inventory transactions. The company purchases inventory on account on February 9, 2024, for $53,000 and then sells this inventory on account on March 7, 2024, for $73,000. Record the transactions for the purchase and sale of the inventory. (If no entry is required for a particular transaction/event, select "No Journal Entry Required" in the first account field.)arrow_forwardOn January 1, 2019, Northern Manufacturing Company bought a piece of equipment by signing a non-interest-bearing $80,000, 1-year note. The face value of the note includes the price of the equipment and the interest. The effective interest rate is an annual rate of 16%, and the note is to be paid in four $20,000 quarterly installments on March 31, June 30, September 30, and December 31. The price of the equipment is the present value of the four payments discounted at the effective interest rate.arrow_forwardThe following selected accounts and the current balances apper in the ledger of Acct 201 Co., for the fiscal year ended May 31, 2020. To answer the questions below, it will be helpful to use a scratch piece of paper and prepare a multiple-step income statement (Note: not all of the listed accounts are used on the income statement. Select those that should appear on the income statement.) Advertising Expense $550Cost of Merchandise Sold 7,850Customer Refunds Payable 40Delivery Expense 16Depreciation Expense-Office Equipment 50Depreciation Expense-Store Equipment…arrow_forward
- Snarl Entity, as well as all of Snarl Entity’s suppliers, are registered as VAT vendors. Snarl Entity uses the perpetual inventory system.Snarl Entity’s current reporting date is 31 December 2014 and the owner will probably approve the 2014 financial statements for distribution on 28 February 2015. The following information represents an extract from the list of balances of Snarl Entity on 31 December 2014:Receivable Croock (30 November 2014 ) 240 000Payable Poock (30 November 2014 ) 445 000ADDITIONAL INFORMATIONThe Payable/Receivable clerk of Snarl Entity has finalised all the other receivables and payables accounts, but was admitted to hospital before she could do the abovementioned accounts and they approached you to complete it for them. The following transactions where applicable, include VAT at 14%:03 Dec An amount of R228 000 due by Receivable Croock, was paid directly into Snarl Entity’s bank account by the means of an EFT. 03 Dec The balance of R12 000, represents a sale of…arrow_forwardPresented below are income statements prepared on a LIFO and FIFO basis for Kenseth Company, which started operations on January 1, 2019. The company presently uses the LIFO method of pricing its inventory and has decided to switch to the FIFO method in 2020. The FIFO income statement is computed in accordance with the requirements of GAAP. Kenseth's profit-sharing agreement with its employees indicates that the company will pay employees 10% of income before profit-sharing. Income taxes are ignored. LIFO Basis FIFO Basis 2020 2019 2020 2019 Sales $3,000 $3,000 $3,000 $3,000 Cost of goods sold 1,130 1,000 1,100 940 Operating expenses 1,000 1,000 1,000 1,000 Income before profit-sharing 870 1,000 900 1,060 Profit-sharing expense 87 100 96 100 Net income $ 783 $ 900 $ 804 $ 960 Instructions Answer the following questions. a. If comparative income statements are prepared, what net…arrow_forwardBlossom Co. uses the gross method to record sales made on credit. On June 1, 2025, it made sales of $62,000 with terms 3/15, n/45. On June 12, 2025, Blossom received full payment for the June 1 sale. Prepare the required journal entries for Blossom Co. (If no entry is required, select "No Entry" for the account titles and enter o for the amounts. Credit account titles are automatically indented when the amount is entered. Do not indent manually. List all debit entries before credit entries. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit 10 Creditarrow_forward
- On June 30, 2019, the balances of the accounts appearing in the ledger of Simkins Company are as follows: Instructions 1. Does Simkins Company use a periodic or perpetual inventory system? Explain. 2. Prepare a multiple-step income statement for Simkins Company for the year ended June 30, 2019. The merchandise inventory as of June 30, 2019, was 508,000. The adjustment for estimated returns inventory for sales for the year ending December 31, 2019, was 33,000. 3. Prepare the closing entries for Simkins Company as of June 30, 2019. 4. What would the net income have been if the perpetual inventory system had been used?arrow_forwardMark Industries issues a note in the amount of $45,000 on August 1, 2018 in exchange for the sale of merchandise. Which of the following is the correct journal entry for this sale? A. B. C. D.arrow_forwardPA10. O 6.6 The following is the adjusted trial balance data for Nino's Pizzeria as of December 31, 2019. NINO'S PIZZERIA Adjusted Trial Balance Year Ended December 31, 2019 Debit Credit $ 775,984 Cash Accounts Receivable Buildings Merchandise Inventory Accounts Payable Common Stock 45,688 200,460 135,624 $437,880 410,542 Sales 555,696 Interest Revenue 84,652 Rent Revenue 86,900 Sales Salaries Expense Office Supplies Expense Sales Discounts Interest Expense Sales Returns and Allowances 24,500 6,270 102,890 4,577 105,854 122,853 Cost of goods sold Rent Expense Depreciation Expense: Office Equipment Insurance Expense Advertising Expense Totals 20,000 10,555 2,780 17,635 $1,575,670 $1,575,670 A. Use the data provided to compute net sales for 2019. B. Compute the gross margin for 2019. C. Compute the gross profit margin ratio (rounded to nearest hundredth). D. Prepare a simple income statement for the year ended December 31, 2019. E. Prepare a multistep income statement for the year ended…arrow_forward
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