Reference no: EM131113846
Inventoriable Costs-Error Adjustments Werth Company asks you to review its December 31, 2010, inventory values and prepare the necessary adjustments to the books. The following information is given to you.
1. Werth uses the periodic method of recording inventory. A physical count reveals $234,890 of inventory on hand at December 31, 2010.
2. Not included in the physical count of inventory is $10,420 of merchandise purchased on December 15 from Browser. This merchandise was shipped f.o.b. shipping point on December 29 and arrived in January. The invoice arrived and was recorded on December 31.
3. Included in inventory is merchandise sold to Bubbey on December 30, f.o.b. destination. This merchandise was shipped after it was counted. The invoice was prepared and recorded as a sale on account for $12,800 on December 31. The merchandise cost $7,350, and Bubbey received it on January 3.
4. Included in inventory was merchandise received from Dudley on December 31 with an invoice price of $15,630. The merchandise was shipped f.o.b. destination. The invoice, which has not yet arrived, has not been recorded.
5. Not included in inventory is $8,540 of merchandise purchased from Minsky Industries. This merchandise was received on December 31 after the inventory had been counted. The invoice was received and recorded on December 30.
6. Included in inventory was $10,438 of inventory held by Werth on consignment from Jackel Industries.
7. Included in inventory is merchandise sold to Sims f.o.b. shipping point. This merchandise was shipped after it was counted. The invoice was prepared and recorded as a sale for $18,900 on December 31. The cost of this merchandise was $11,520, and Sims received the merchandise on January 5.
8. Excluded from inventory was a carton labeled "Please accept for credit." This carton contains merchandise costing $1,500 which had been sold to a customer for $2,600. No entry had been made to the books to reflect the return, but none of the returned merchandise seemed damaged.
(a) Determine the proper inventory balance for Werth Company at December 31, 2010.
(b) Prepare any correcting entries to adjust inventory to its proper amount at December 31, 2010. Assume the books have not been closed.
|
Summarize your post by offering your ideas as to how parents
: An analysis of the impact of ongoing physical maturation (i.e., pubertal change, brain maturation) on adolescent behavior. Also, post an analysis of the impact of social media on adolescent behavior. Pay particular attention to the danger for risk..
|
|
What is the load resistance in ohms as measured
: Reconnected in Y-?, with the same high tension voltage supplied and the same load resistors connected?
|
|
Identify a specific segment of criminal justice
: Operational leadership within a criminal justice agency is driven by the administrator responsible for the agency. Identify a specific segment of criminal justice
|
|
Question regarding the supplier representative
: One week later, Charlie receives a case of expensive wine, delivered to his home, with a nice note from the supplier's representative that begins "Happy Celebrations," and then states how much they appreciate the order and that they are really loo..
|
|
Werth uses the periodic method of recording inventory
: Werth uses the periodic method of recording inventory. A physical count reveals $234,890 of inventory on hand at December 31, 2010.
|
|
Determine the line-to-line voltage at the sending end
: Determine the line-to-line voltage at the sending end of the high-voltage feeder when the transformer delivers rated load at 240 V (line-to-line) and 0.8 lagging power factor. Neglect the exciting current of the transformer.
|
|
What crimes should probation be utilized
: What crimes should probation be utilized for and what crimes should not be? Substantiate your thoughts with research and discuss why you are of this opinion
|
|
Faculty relations at prestigious university
: You are the vice president for faculty relations at Prestigious University, a private university in New Jersey. There is no formal collective agreement between the university administration and the American Association of University Professors (AA..
|
|
Strengths and weaknesses of the trait theories
: What are the strengths and weaknesses of the trait theories? How will the future affect their theory base
|