College Accounting (Book Only): A Career Approach
13th Edition
ISBN: 9781337280570
Author: Scott, Cathy J.
Publisher: South-Western College Pub
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Chapter E, Problem 2P
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Prepare an income statement for LH Company by department, and non-departmentalized (total) income statement for the year ended January 31, 20--.
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Barkley Company’s adjusted trial balance on March 31, its fiscal year-end, follows. It categorizes the following accounts as selling expenses: Sales Salaries Expense, Rent Expense—Selling Space, Store Supplies Expense, and Advertising Expense. It categorizes the remaining expenses as general and administrative. Beginning merchandise inventory was $37,500. Supplementary records of merchandising activities for the year ended March 31 reveal the following itemized costs. Invoice cost of merchandise purchases . $138,500 Purchases returns and allowances $6,700 Purchases discounts received . . . . . . . . . . . . . . . . . 2,950 Costs of transportation-in . 5,750 Required 1. Compute the company’s net sales for the year. 2. Compute the company’s total cost of merchandise purchased for the year. 3. Prepare a multiple-step income statement that includes separate categories for net sales, cost of goods sold, selling expenses, and general and administrative expenses. 4. Prepare a single-step…
Chloe Company employs the perpetual inventory system. Cost of Goods Sold for the year before any adjustment is $275,450. The computer record shows the amount of ending inventory to be $55,382, while the physical count shows ending inventory to be $51,405. Record the adjustment into T accounts and then journalize the adjusting entry.
DEF’s branch submitted the following data for the current year (its first year of operation): Sales of P203,500, Debit balance for Shipment from home office of P186,120, Operating Expenses of P18,755 and a credit balance for Home Office account of P48,125. Shipment to the branch are billed at cost. The ending inventory of the branch was P25,245. Compute for the correct balance of Branch Account- to be presented in the home office books?
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