Reference no: EM132787550
On August 31, 2020, Lovely Co. consigned to Cute Co. ten ladies' handbags which cost Lovely P200 each. Lovely paid freight charges of P100 on the shipment.
On September 30, 2020, Cute Co. submitted an account sales reporting that it sold for cash seven handbags for which it remitted P2,110 representing the net proceeds after deductions as follows:
Commission 20% of sales price
Advertising placed upon receipt of shipment P80
Total Delivery fee of units sold P50
Question 1: The consignee sold the 7 handbags for a total of?
Question 2: What is the gross profit of the consignor?
Question 3: The Consignor realized a net income on the consignment amounting to?
Question 4: The Consignee realized income from the sale of consigned handbags amounted to?
Question 5: The inventory of unsold handbags at September 30, 2020 was valued at?
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