A business using the retail method of inventory costing determines that inventory at retail is $601,400. If the ratio of cost to retail price is 50%, what is the amount of inventory to be reported on the financial statements?$_____________

Q: Jefferson Company has sales of $314,000 and cost of goods available for sale of $271,400. If the…

A: The question is based on the concept of Cost Accounting.

Q: Lamas has the following products in inventory at the year end: Selling Price P 65 P 23 P 25 Selling…

A: As per accounting standard 2, all inventories in the business should be valued at lower of cost or…

Q: If the estimated rate of gross profit is 30%, what is the estimated cost of the inventory on…

A: Inventory refers to materials such as raw materials, finished products, and in-process goods that…

Q: The following data are available for Sellco for the fiscal year ended on January 31, 2020: Sales…

A: Ending units=Beginning units+Purchases -Units sold=260+340+440+190-800=430 units

Q: Calculate the cost of goods sold dollar value for A65 Company for the month, considering the…

A: Perpetual inventory System:-In this method, a record of sales and purchase of inventory is a…

Q: A business using the retail method of inventory costing determines that inventory at retail is…

A: The question requires the amount of inventory to be reported in financial statement as per retail…

Q: The accounting records of Sage Hill Electronics show the following data. Beginning inventory…

A: Periodic inventory system: Under this inventory system, the records of inventory are only updated at…

Q: The following units of an inventory item were available for sale during the year: Unit Unit Cost…

A: The average cost per unit is computed as total cost of goods available for sale divided by number of…

Q: Caminas has the following products in inventory at the year end. Product Quantity Cost Selling…

A: We have the following information: Product : AQuantity: 1,000Cost: $40Selling Price: $55Selling…

Q: ANC reported the following data: Beginning inventory, 500 units at P2.40 each. Purchased on January…

A: Formula: Average cost per unit = ( Beginning cost + Purchases cost ) / Number of units Division of…

Q: You are assigned to prepare the financial statements of LIVA Company for the year 2021. The…

A: Calculation of Ending Inventory at Retail Ending Inventory at Retail = Ending Inventory at Cost/…

Q: A business using the retail method of inventory costing determines that merchandise inventory at…

A: Retail method: This method of estimating cost of inventory requires cost and retail prices to be…

Q: A company reports the following beginning inventoryand purchases, and it ends the period with 30…

A: FIFO method means First in First Out. It means inventory which is purchased first will be sold…

Q: Brocken Co. has the following data related to an item of inventory: Inventory, May 1 3,000 units (@…

A: From the given information, Number of units sold = Opening inventory+Purchases-Closing inventory…

Q: Use the information below to answer the following question. The following units of an inventory item…

A: Weighted Average: Under the weighted average method, a weighted average cost is calculated and the…

Q: Niles Co. has the following data related to an item of inventory: Inventory, March 1 Purchase, March…

A: Solution: Nos of units sold = Units available for sale - Units in ending inventory = (100 + 350+ 70)…

Q: Compute the inventory turnover ratio based on the following data: Sales revenue…

A: Inventory turnover ratio is the measure which is used to know the number of times company has sold…

Q: Fry Corporation's computation of cost of goods sold is: Beginning inventory 60,000

A: Answer: Option (a) 54.5 days is the correct answer.

Q: A company purchased inventory as follows:                         200 units at $9…

A: Total units available for sale = 200 + 300 = 500 units Total cost of goods available for sale = (200…

Q: Brocken Co. has the following data related to an item of inventory: Inventory, May 1 3,000 units @…

A: FIFO  Method - This is a FIrst In First out  Method where in Cost of Goods is calculated where the…

Q: William Company uses the periodic inventory system and theaccounts reflected the following data:…

A: In this numerical has covered the concept of LIFO and FIFO method for valuing the inventory.  FIFO…

Q: Complete the following: (Round your answers to the nearest hundredth.)     Average…

A:

Q: Boyne Inc. had beginning inventory of $12,000 at cost and $20,000 at retail. Net purchases were…

A: Working: Cost to retail Percentage = Goods Available for sale (before MarkDowns) at cost / Goods…

Q: he following information was developed for Oriole Department Store:     At Cost   At Retail…

A:

Q: At May 31, Brunet Company has net sales of $340,000 and cost of goods available for sale of…

A: At May 31, Brunet company's Net sales = $340000 Cost of goods available for sale = $230000 The net…

Q: Sarasota Inc. had beginning inventory of $20,600 at cost and $30,600 at retail. Net purchases were…

A: Retail method: One of the accounting method where the value of the merchandise or goods sold is…

Q: Generally, ending inventory is required to be recorded under perpetual inventory system. O True O…

A: Solution 1: False. This is because ending inventory can be recorded under both periodic or perpetual…

Q: A business using the retail method of inventory costing determines that merchandise inventory at…

A:

Q: A business using the retail method of inventory costing determines that merchandise inventory at…

A: Retail method: This method of estimating cost of inventory requires cost and retail prices to be…

Q: Fashion Barn’s total cost valuation of inventory is $90,000 and its total retail valuation is…

A: Closing inventory: It refers to the amount of stock that company have at the end of the accounting…

Q: he following data are available for Sellco for the fiscal year ended on January 31, 2020:…

A: Calculation of COGS and ending inventory: FIFO COGS= (500*4)+(600*5)+(500*6) =2000+ 3000 +3000 =$…

Q: Based on the following data, estimate the cost of the ending inventory: Sales $9,250,000 Estimated…

A: Cost of goods sold = Sales - Gross profit = $9,250,000 - $9,250,000*36% = $5,920,000

Q: Using the data below, calculate the cost of merchandise sold. Beginning inventory, $1,000 Inventory…

A: Solution: Particulars Amount ($) Beginning Inventory 1,000 Add: Inventory purchased 3,000…

Q: A business using the retail method of inventory costing determines that merchandise inventory at…

A: Ending inventory = Merchandise inventory at retail price x Ratio of cost

Q: When preparing the Multiple-Step Income Statement for a merchandising business that is using the…

A: Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: Sauder Company reports goods available for sale at cost, $90,000. Beginning inventory at retail is…

A: Cost of ending inventory = Ending inventory at retail x Cost to Retail ratio where, Cost to Retail…

Q: A company reports the following beginning inventoryand purchases, and it ends the period with 30…

A: FIFO method means First in First Out. It means inventory which is purchased first will be sold…

Q: ABC Company has average inventory of $45 000, cost of goods sold is $650 000. What is the inventory…

A: Given data; Average inventory = $45,000 Cost of goods sold = $ 650,000

Q: Consider the following information:     Units Cost per unit Total costs Goods in inventory at…

A: Under Weighted average cost method, value of ending inventory and cost of goods sold is calculated…

Q: If net sales are $300,000, cost of goods available for sale is $280,000, and gross profit…

A: Definition: Merchandise Inventory: Merchandise is the stock of goods bought by a wholesaler, or a…

Q: Given the following, calculate the estimated cost of ending inventory using the gross profit method.…

A:

Q: If the estimated rate of gross profit is 30%, what is the estimated cost of the inventory on…

A: Inventory accounting is the method of accounting that deals with the valuation and reporting of…

Q: Based on the following data, estimate the cost of the ending merchandise inventory: Sales $1,450,000…

A: Ending inventory is value of inventory at the end of the period. It is calculated by adding…

Q: The following data are available for Sellco for the fiscal year ended on January 31, 2020: Sales 800…

A: Inventory valuation is based on the flow of inventory used by the organization. There are several…

Q: Neyman Inc. has the following data for purchases and sales of inventory: Date Units Cost per Unit…

A: Cost of goods sold includes all the direct cost of a product that are incurred in its…

Q: Dakota Company had net sales (at retail) of $260,000. The following additional information is…

A: The inventory management will include ordering of goods, storing/holding of goods, work in progress…

Q: On June 30, Cullumber Fabrics has the following data pertaining to the retail inventory method.…

A: Ending inventory = Cost of goods available for sales - Cost of sales

Q: The accounting records of Amp Electronics show the following data.     Beginning inventory 4,000…

A: Inventory valuation can be done using various methods : A. FIFO method B. LIFO method C. average…

Q: The inventory accounting records for Lee Enterprises contained the following data: Beginning…

A: Cost of goods sold: It refers to the purchase value of the goods that are being sold. The amount of…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.