TB MC Qu. 8-44 (Algo) Mogul Company ships inventory to Ski Outfit... Mogul Company ships inventory to Ski Outfit in a consignment arrangement. The arrangement specifies that Ski Outfit will attempt to sell the inventory, and in return, Mogul will pay to Ski Outfit a commission of 20% of the selling price on any inventory sold. During the year, Mogul ships inventory with a cost of $92,000 to Ski Outfit and pays shipping costs of $16,400. By the end of the year, $72,000 of the inventory has been sold to customers for a total of $97,000. Mogul allocates $12,000 of the shipping costs to inventory sold and the other $4,400 to inventory not sold. Mogul also paid advertising costs during the year of $16,000. What amount of inventory will Mogul report at year end?

TB MC Qu. 8-44 (Algo) Mogul Company ships inventory to Ski Outfit... Mogul Company ships inventory to Ski Outfit in a consignment arrangement. The arrangement specifies that Ski Outfit will attempt to sell the inventory, and in return, Mogul will pay to Ski Outfit a commission of 20% of the selling price on any inventory sold. During the year, Mogul ships inventory with a cost of $92,000 to Ski Outfit and pays shipping costs of $16,400. By the end of the year, $72,000 of the inventory has been sold to customers for a total of $97,000. Mogul allocates $12,000 of the shipping costs to inventory sold and the other $4,400 to inventory not sold. Mogul also paid advertising costs during the year of $16,000. What amount of inventory will Mogul report at year end?

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 3RE: Shaquille Corporation began the current year with inventory of 50,000. During the year, its...

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1. On 9/20/22, Manhattan Trading shipped goods costing $200,000 to Queens Appliances Storeon consignment. The sales agreement states that Queens Appliances Store has 60 days to either sellthe goods or pay Manhattan Trading $300,000 for them or return the goods. Manhattan Trading usesthe perpetual inventory system.RequiredA. Original shipment of the goods to Queens Appliances store.B. Expiration of the 60-day period without the goods being returned by QueensAppliances Store.
On June 10, Wildhorse Company purchased $8,500 of merchandise on account from Swifty Company, FOB shipping point, terms 2/10, n/30. Wildhorse pays the freight costs of $570 on June 11. Damaged goods totaling $450 are returned to Swifty for credit on June 12. The fair value of these goods is $75. On June 19, Wildhorse pays Swifty Company in full, less the purchase discount. Both companies use a perpetual inventory system.
On June 10, Wildhorse Company purchased $8,500 of merchandise on account from Swifty Company, FOB shipping point, terms 2/10, n/30. Wildhorse pays the freight costs of $570 on June 11. Damaged goods totaling $450 are returned to Swifty for credit on June 12. The fair value of these goods is $75. On June 19, Wildhorse pays Swifty Company in full, less the purchase discount. Both companies use a perpetual inventory system.Prepare separate entries for each transaction for Swifty Company. The merchandise purchased by Wildhorse on June 10 had cost Swifty $5,200. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)
Mogul Company ships merchandise to Ski Outfit in a consignment arrangement. The arrangement specifies that Ski Outfit will attempt to sell the merchandise, and in return, Mogul will pay to Ski Outfit a 20% sales commission on any merchandise sold. During the year, Mogul ships inventory with a cost of $95,000 to Ski Outfit. By the end of the year, $72,000 of the merchandise has been sold to customers for a total of $100,600. What amount of inventory will Mogul report at year end?
On June 10, Wildhorse Company purchased $9,500 of merchandise on account from Novak Company, FOB shipping point, terms 2/10, n/30. Wildhorse pays the freight costs of $590 on June 11. Damaged goods totaling $350 are returned to Novak for credit on June 12. The fair value of these goods is $75. On June 19, Wildhorse pays Novak Company in full, less the purchase discount. Both companies use a perpetual inventory system. how do i prepare a entrie transaction for the items that i have attached?
Kk129. Net Solutions purchased 200 units of Commodity 30 on account for $15 each FOB shipping point, credit terms: 2/15, n/60 on October 21, 2021, from P. Moore. 80 units were damaged in shipment, and were returned on Oct. 27, 2021. Net Solution paid ABC Shipping agency $136 for the delivery and paid the balance on Nov 4. Assume the company uses perpetual inventory system. Journalize all the transactions for Net Solutions.
On March 1, 2022, MABEL Company purchased inventory from its supplier with list price of P800,000. The trade discount is 20% and the credit terms is 3/15, n/40. Compute for the amount to be paid by MABEL Company if it pays the invoice on March 11, 2022. 2. There were no beginning inventories and that the unsold items form part of the ending inventories. Required: Determine the amounts of COGS using specific identification. Determine the amounts of ending inventory using specific identification.
On december 15, 2019 Flanagan company purchased goods costing 100,000. The term were FOB shipping point. Costs incurred by the entity in connection with the purchase and delivery of the goods were as follows: Normal freight charges $3,000 Handling costs 2,000 Insurance on shipment 500 Abnormal freight charges for express 1,200 Shipping The goods were received on December 17, year 2. What is the amount that Flanagan should charge to inventory and to current period expense?
On May 1, 2021, Company A shipped merchandise costing $16,000 to Company B on consignment. Company A paid $1,400 in shipping costs to deliver the inventory. On September 30, 2021, Company B advised Company Athat all of the inventory had been sold for a total of $54,000. On October 15, 2021, Company A received payment from Company B for the proceeds, less a 12% commission. Required: Prepare all the journal entries for Company A to account for the transaction from April 2 through October 15.
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On January 4, 2019, Dunbar Company purchased, on credit, 2,000 television sets at $700 each. Terms of the purchase were 2/10, n/30. Dunbar paid for 20% of these sets on January 13 and the remaining 80% on February 1. Required: 1. Prepare the journal entries on Dunbar Company’s books, assuming that it uses the net price method to record its merchandise. (Dunbar uses a perpetual inventory system.) 2. Next Level Discuss the conceptual advantage of the net price method compared to the gross price method.
Golf World sold merchandise to Mulligans for $10,000, offering terms of 1/15, n/30. Mulliganspaid for the merchandise within the discount period. Both companies use perpetual inventorysystems.a. Prepare journal entries in the accounting records of Golf World to account for this sale and thesubsequent collection. Assume the original cost of the merchandise to Golf World had been$6,500.b. Prepare journal entries in the accounting records of Mulligans to account for the purchase andsubsequent payment. Mulligans records purchases of merchandise at net cost.c. Assume that, because of a change in personnel, Mulligans failed to pay for this merchandisewithin the discount period. Prepare the journal entry in the accounting records of Mulligans torecord payment after the discount period.