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Nomoto Cars is an automobile dealership. Prepare journal entries to record these transactions. Then based on the journal entries, determine the total profit Nomoto made on the sales.1. Nomoto receives 14 automobiles from a manufacturer and puts them into its inventory for resale. Nomoto bought the autos on credit for $ 22,000 each.2. During the following week, Nomoto sells five of the automobiles for $ 26,000 each. The customers pay in cash.
North Dakota Corporation began operations in January 2010, and purchased a machine for $20,000. Prepare a journal entry to record income taxes for the year 2010. Show well-labeled computations.
Calculating the gross margin for the current year under audit as a percent of sales and comparing it with previous years is what type of evidence?
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