Central Virginia Community College - ACCOUNTING MISC 1)A company has net sales of $770,300 and cost of goods sold of $556,300

Central Virginia Community College - ACCOUNTING MISC

1)A company has net sales of $770,300 and cost of goods sold of $556,300. Its net income is $21,910. The company's gross margin and operating expenses, respectively, are:

2. Morgan, Inc. uses a perpetual inventory system and the net method of recording purchases. On May 12, a merchandise purchase of $17,600 was made on credit, 2/10, n/30. The journal entry to record this purchase is: Purchased means AP

3. On September 12, Ryan Company sold merchandise in the amount of $7,600 to Johnson Company, with credit terms of 2/10, n/30. The cost of the items sold is

$4,900. Ryan uses the periodic inventory system and the net method of accounting for sales. Johnson pays the invoice on September 18, and takes the appropriate discount. The journal entry that Ryan makes on September 18 is: sold means AR

4. Netherland Corporation has the following unadjusted balances: Accounts Receivable, $97,000 (debit), and Allowance for Sales Discounts $470 (credit). Of the receivables, $67,000 of them are within the 2% discount period, and Netherland expects buyers to take $1,340 in future-period discounts ($67,000 × 2%) arising from this period’s sales. The adjusting entry to estimate sales discounts is (are):

5. On September 12, Ryan Company sold merchandise in the amount of $9,600 to Johnson Company, with credit terms of 2/10, n/30. The cost of the items sold is

$5,900. Ryan uses the periodic inventory system and the net method of accounting for sales. The journal entry or entries that Ryan will make on September 12 is (are):  

6. Using the following year-end information for Bauman, LLC, calculate the current ratio and acid-test ratio:

7. On September 12, Vander Company sold merchandise in the amount of $6,000 to Jepson Company, with credit terms of 4/10, n/30. The cost of the items sold is

$4,200. Vander uses the periodic inventory system and the gross method of accounting for sales. The journal entry or entries that Vander will make on September 12 is:

8. Grays Company has inventory of 14 units at a cost of $9 each on August 1. On August 3, it purchased 24 units at $12 each. 16 units are sold on August 6. Using the FIFO perpetual inventory method, what amount will be reported as cost of goods sold for the 16 units that were sold?

9. A company uses the periodic inventory system and had the following activity during the current monthly period. Using the weighted-average inventory method, the company's ending inventory would be:

November 1: Beginning inventory      110 Units @ $10

November 8: Purchased         60 Units @ $25

November 19: Purchased       65 Units @ $20

10. A company had the following purchases and sales during its first year of operations:

January:           23 units at $205 17 units

  February: 33 units at $210 17 units May:     28 units at $215 21 units

11. On December 31, there were 32 units remaining in ending inventory. Using the Perpetual LIFO inventory valuation method, what is the cost of the ending inventory? (Assume all sales were made on the last day of the month.) 6755?

12. Bedrock Company reported a December 31 ending inventory balance of

$416,500. The following additional information is also available:

12. Salmone Company reported the following purchases and sales of its only product. Salmone uses a periodic inventory system. Determine the cost assigned to cost of goods sold using FIFO.

13. n March 31 a company needed to estimate its ending inventory to prepare its first quarter financial statements. The following information is available:

14. The company's gross margin ratio is 15%. Using the gross profit method, the cost of goods sold would be:

15. Sandoval needs to determine its year-end inventory. The warehouse contains 34,000 units, of which 4,400 were damaged by flood and are not sellable. Another 3,400 units were purchased from Markor Company, FOB shipping point, and are currently in transit. The company also consigns goods and has 5,400 units at a consignee's location. How many units should Sandoval include in its year-end inventory?

16. A company’s inventory records report the following in November of the current year:

17. On November 8, it sold 14 units for $45 each. Using the LIFO perpetual inventory method, what was the amount recorded in the cost of goods sold account for the 14 units sold?

18. Salmone Company reported the following purchases and sales of its only product. Salmone uses a perpetual inventory system. Determine the cost assigned to cost of goods sold using FIFO.

19. During the month of July, Clanton Industries issued a check in the amount of $834 to a supplier on account. The check did not clear the bank during July. In preparing the July 31 bank reconciliation, the company should:

20. Easton Co. deposits all cash receipts on the day they are received and makes all cash payments by check. At the close of business on June 30, its Cash account shows a debit balance of $72,709.

Easton's June bank statement shows $68,349 on deposit in the bank. Determine the adjusted cash balance using the following information:

21. Havermill Co. establishes a $400 petty cash fund on September 1. On September 30, the fund is replenished. The accumulated receipts on that date represent $88 for Office Supplies, $167 for merchandise inventory, and $37 for miscellaneous expenses. The fund has a balance of

$108. On October 1, the accountant determines that the fund should be increased by $80. The journal entry to record the reimbursement of the fund on September 30 includes a:

22. At the end of the day, the cash register tape shows $1,120 in cash sales but the count of cash in the register is $1,160. The proper entry to account for this excess is:

23. In the process of reconciling its bank statement for January, Maxi's Clothing's accountant compiles the following information:

Cash balance per company books on January 30       $5,025

Outstanding checks at month-end      $ 550

EFT automatically deducted monthly, not yet recorded by

Maxi

$ 440