User Account

All Pages

Gross profit method you are called by kevin garnett

Assignment Help Accounting Basics
Reference no: EM131117513

1. Gross Profit Method You are called by Kevin Garnett of Celtic Co. on July 16 and asked to prepare a claim for insurance as a result of a theft that took place the night before. You suggest that an inventory be taken immediately.

The following data are available.
Inventory, July 1 $ 38,000
Purchases-goods placed in stock July 1-15 90,000
Sales-goods delivered to customers (gross) 116,000
Sales returns-goods returned to stock 4,000

Your client reports that the goods on hand on July 16 cost $30,500, but you determine that this figure includes goods of $6,000 received on a consignment basis. Your past records show that sales are made at approximately 25% over cost. Garnett's insurance covers only goods owned. Compute the claim against the insurance company. 

Reference no: EM131117513

Questions Cloud

How do you think the weaker us. economic conditions : How do you think the weaker U.S. economic conditions would have affected trade flows? How would this have affected the value of the dollar (holding other factors constant)? How do you think the lower U.S. interest rates would have affected the value ..
Gross profit method sliver lumber company : Gross Profit Method Sliver Lumber Company handles three principal lines of merchandise with these varying rates of gross profit on cost.
In terms of minimizing tax liability : In terms of minimizing tax liability, how would estate planning differ from a partnership to a corporation? For estate planning purposes, what are the advantages of setting your business up as a corporation versus a partnership? Defend your response.
Creation of inflation by a central bank : What is the inflation tax, and how might it explain the creation of inflation by a central bank? Explain how inflation affects savings and investment.
Gross profit method you are called by kevin garnett : Gross Profit Method You are called by Kevin Garnett of Celtic Co. on July 16 and asked to prepare a claim for insurance as a result of a theft that took place the night before.
Draw a signal graph and identify the nine components : A machine for making paper is diagrammed in Fig. 1.12. There are two main parameters under feedback control: the density of fibers as controlled by the consistency of the thick stock that flows from the headbox onto the wire, and the moisture cont..
The assembly and sale of custom computers : Brandon Production is a small firm focused on the assembly and sale of custom computers. The firm is facing stiff competition from low-priced alternatives, and is looking at various solutions to remain competitive and profitable.
What is the company cost of equity : The Muse Co. just issued a dividend of $ 2.75 per share on its common stock. The company is expected to maintain a constant 5.8 percent growth rate in its dividends indefi nitely. If the stock sells for $ 59 a share, what is the company’s cost of equ..
What is the company pretax cost of debt : Mudvayne, Inc., is trying to determine its cost of debt. The fi rm has a debt issue outstanding with 18 years to maturity that is quoted at 107 percent of face value. The issue makes semiannual payments and has an embedded cost of 6 percent annually...

Reviews

Write a Review

Accounting Basics Questions & Answers

  Why is preferred stock less risky

Why is Preferred Stock less risky? I would think that since they take precedence over the Common Stock holders that they would hold the same or more risk?

  Bakker corporation applies manufacturing overhead on the

bakker corporation applies manufacturing overhead on the basis of direct labor-hours. at the beginning of the most

  Prepare a cvp income statement through contribution margin

The traditional income statement for Renfro Company shows sales $900,000, cost of goods sold $500,000, and operating expenses $200,000. Assuming all costs and expenses are 70% variable and 30% fixed, prepare a CVP income statement through contrib..

  A subsidy geared to the construction of investment

In your expert opinion which potential LOE policy is most preferred (by this group)? Explain why. Which policy is less preferred (by this group)? Explain why.

  What is the cost of goods sold under lifo

What is the ending inventory under FIFO? Show computations and what is the cost of goods sold under LIFO? Show computations

  Consider once again the microchip market described in

consider once again the microchip market described in problem 9 . demand for micropocessors is given by p 35 - 5q.

  Make the companys cash budget for april in good form make

wehr inc. is preparing its cash budget for april. the budgeted beginning cash balance is 19000. budgeted cash receipts

  Compare and contrast the controlling account

Compare and contrast the controlling account Accounts Payable to the accounts payable subsidiary ledger. Discuss why the balance of the controlling account, Accounts Payable, does not equal the sum of the accounts payable ledger during the mon..

  Describes a capital lease in which annual lease payments

Determine the amount lessee would record as a leased asset and a lease liability for above situations

  Based on your readings or any additional research you might

a client comes to you thinking about starting a consulting business. your client is specifically interested in what

  Kern company sells merchandise on account for 6000 to block

kern company sells merchandise on account for 6000 to block company with credit terms of 210 n30. block company

  Designing computer-based accounting information systems

Define the ‘hard' and ‘soft' systems. With the aid of diagrams, comment on and discuss the difference between these two theoretical approaches and their implications on designing computer-based accounting information systems

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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