Estimate of inventory amounts immediately preceding the fire

Assignment Help Financial Accounting
Reference no: EM131264869

Martinez Lumber Company handles three principal lines of merchandise with these varying rates of gross profit on cost. Lumber 25% Millwork 30% Hardware and fittings 40% On August 18, a fire destroyed the office, lumber shed, and a considerable portion of the lumber stacked in the yard. To file a report of loss for insurance purposes, the company must know what the inventories were immediately preceding the fire. No detail or perpetual inventory records of any kind were maintained. The only pertinent information you are able to obtain are the following facts from the general ledger, which was kept in a fireproof vault and thus escaped destruction. Lumber Millwork Hardware Inventory, Jan. 1, 2017 $252,200 $91,500 $45,500 Purchases to Aug. 18, 2017 1,501,000 380,000 160,300 Sales to Aug. 18, 2017 2,083,100 570,700 222,600

Submit your estimate of the inventory amounts immediately preceding the fire. (Round ratios for computational purposes to 5 decimal places, e.g. 78.74265% and final answers to 0 decimal places, e.g. 28,987.)

Inventory $ $ $

Lumber Millwork Hardware

Reference no: EM131264869

Questions Cloud

Difference in year related to the net capital carryover : Studios reported a net capital loss of $36,000 in year 5. It reported net capital gains of $26,000 in year 4 and $39,000 in year 6. What is the amount and nature of the book-tax difference in year 6 related to the net capital carryover?
Implementing employee of the month program : You are about to recommend a series of sweeping changes within your department. They include: Replacing existing cubicles with new ones that are larger and provide your employees more privacy. Implementing an “Employee of the Month” program. Implemen..
Examples of facility level costs except : All of the following are examples of facility level costs except:
Ending inventory using conventional retail inventory method : The records of Flounder’s Boutique report the following data for the month of April. Sales revenue $103,300 Purchases (at cost) $52,100 Sales returns 2,200 Purchases (at sales price) 95,200 Markups 9,000 Purchase returns (at cost) 2,200 Markup cancel..
Estimate of inventory amounts immediately preceding the fire : Martinez Lumber Company handles three principal lines of merchandise with these varying rates of gross profit on cost. Lumber 25% Millwork 30% Hardware and fittings 40% On August 18, a fire destroyed the office, lumber shed, and a considerable portio..
As part of the audit of accounts payable : As part of the audit of Accounts Payable, you want to identify all invoices (Invoice_Amount) greater than $50,000 so that you can vouch the transaction to original documentation (i.e., approved purchase order, receiving records). Use ACL to identify ..
Amount of inventory of unsold straight chairs : During 2017, Larkspur Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Larkspur for a lump sum of $54,400 because it is discontinuing manufacturing operations and wishes to dispose of its entire stock. What..
Date ending inventory-price index : The following information relates to the Shamrock Company. Date Ending Inventory (End-of-Year Prices) Price Index December 31, 2013 $ 65,300 100 December 31, 2014 123,930 135 December 31, 2015 134,400 150 December 31, 2016 152,365 155 December 31, 20..
Regarding initial valuation and measurement : Which statement is correct regarding INITIAL valuation and measurement?

Reviews

Write a Review

 

Financial Accounting Questions & Answers

  Identify the vertical axis as sales and costs

Please construct a cost volume profit (break-even) chart based on the following information: Please identify the vertical axis as sales and costs, and the horizontal axis as units of sales. Identify lines inserted on the graph, BEP, profit and loss a..

  You have been assigned to evaluate the stock market

you have been assigned to evaluate the stock market performance of firms who manufacture accounting software

  Fraud risk factors for misappropriation of assets

Assume that you are a member of the audit team, identify the fraud risk factors for misappropriation of assets that were present at Koss corporation. Is it appropriate for one individual to hold significant 5 senior management positions all at the sa..

  Determine the balance of any current and deferred tax assets

Determine the balance of any current and deferred tax assets and liabilities (using appropriate worksheets) as at 30 June 2014, in accordance with AASB 112. Show all necessary workings.

  What are the total equivalent units for direct materials

The ending work in process inventory was 5,680 tons (25% complete). What are the total equivalent units for direct materials if materials are added at the beginning of the process?

  Technique of accounting for product

Particular technique of accounting for product and describe why you consider it to be better than the alternatives.

  Explain the applications of outsourcing in accounting

Explain the applications of outsourcing in accounting and their implications on the profitabilityand quality of information of a company.

  Section on honeywell history and the turnaround

After reviewing the background section on Honeywell's history and the turnaround led by Dave Cote from 2002-2008, what do you think went wrong with the way the management team handled the 2001 recession?

  Write a brief memorandum for the working papers

Research this issue and write a brief memorandum for the working papers describing the issue and summarizing the appropriate method of accounting for the development costs.

  Prepare a daily contribution margin income statement

Prepare a daily contribution margin income statement based on the following assumptions: My Cookie Company makes only one kind of cookie and sells it for $1.00 per unit.

  Evaluate the caps argument involving situations

Evaluate the CAPs argument involving situations where market value of common stock should be capitalized in certain stock dividend situations.

  Prepare a tabular summary of the effects of the actions

On October 31, the stockholders' equity section of Pele Company's balance sheet consists of common stock $327,600 and retained earnings $423,000. Prepare a tabular summary of the effects of the alternative actions on the company's stockholders' eq..

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd