2: Consigned Goods ABC Co. consigned goods costing P10,000 to XYZ, Inc. Transportation costs of delivering the goods to XYZ totaled 2,000. Repair costs for goods damaged during ransportation totaled P500. To induce XYZ Inc. in accepting the consigned goods, ABC Co. gave XYZ Inc P1,000 representing an advance commission. How much is The cost of the consigned goods?
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- Please provide a complete solution and with explanation for better understanding. Thank you. ABC Consigned 15 construction machines to XYZ Co. The machines cost P450,000 each. Freight on the shipment which was paid by ABC amounted to P300,000. XYZ Co. submitted an account sale stating that they had sold 6 units and remitted P3,412,500 balance due to ABC after the following deductions: Commission 20% of selling price; Marketing expenses P325,000; Delivery of items sold 250,000; Delivery cost paid upon receipt of consignment 137,500. Compute for the selling price per unit.ABC Co purchased an equipment from Hongkong for P100,000. Additional cost included the following: Broker's commission P5,000 Import duties P30,000 Freight on purchase P1,000 Installation cost P3,500 Testing of equipment prior to use P5,000 Promotion and advertising cost of the new product to be processed in using the new equipment, P8,000 Samples generated from testing the equipment were sold for P500. How much is the initial cost of the equipment? a. 100k b. 144k c. 144,500 d. 152k PPE intermediate accountingABC Co purchased an equipment from Hongkong for P100,000. Additional cost included the following: Broker's commission P5,000 Import duties P30,000 Freight on purchase P1,000 Installation cost P3,500 Testing of equipment prior to use P5,000 Promotion and advertising cost of the new product to be processed in using the new equipment, P8,000 Samples generated from testing the equipment were sold for P500. How much is the initial cost of the equipment? 100,000 144,000 144,500 152,000
- ABC Co purchased an equipment from Hongkong for P100,000. Additional cost included the following: Broker's commission P5,000 Import duties P30,000 Freight on purchase P1,000 Installation cost P3,500 Testing of equipment prior to use P5,000 Promotion and advertising cost of the new product to be processed in using the new equipment, P8,000 Samples generated from testing the equipment were sold for P500. The entry related to the above transaction will include: Cr Cash 144,500 Dr Selling Expenses 8,000 Dr Equipment 152,000 Cr Sales 500ANNA Company purchased inventories from abroad for resale incurring the following costs: Determine the cost to be capitalized as part of inventory. 2. ROSALINDA Company accepted a special manufacturing order from RIZZA Company. The Company incurred P250,000 for materials and P170,000 for conversion costs. Since this is a special order, the Company also incurred P100,000 for designing the product and P50,000 for modifying the current production process. In addition, excessive wastage of materials amounting to P80,000 was incurred because of the highly-specialized nature of the order. Lastly, the Company also incurred storage cost of P70,000 when the inventory was in work-in-process stage and P40,000 when it was already a finished product. What amount should be capitalized as part of inventory?Swifty Corporation purchased equipment for $43200. Sales tax on the purchase was $2592. Other costs incurred were freight charges of $648, repairs of $378 for damage during installation, and installation costs of $722. What is the cost of the equipment? Select answer from the options below $43200 $45792 $47162 $47540
- 5. Abu Ali Company purchased equipment for SR15,000. sales tax on the purchase freight charges repairs for damage during installation installation costs insurance of equipment after installation What is the cost of the equipment? a. 15,925 b. 15,500 c. 15,000 d. 16,275 SR500 200 350 225 300A piece of machinery has marked price of P550,000. It was purchased under the term 15%, 10%, and 5% discounts. The cost of freight and installation after deducting the P8,000 sales proceeds of the old machinery which was replaced is P12,000. The new machinery shall be recorded at a cost of A. 411,712 B. 405,000 C. 419,712 D. 397,000Subasta Corporation was able to acquire second hand goods worth P100,000 in an auction. The goods can be sold as is for P120,000 or reconditioned at a cost of P30,000 and sold for P170,000. 1. Identify the irrelevant cost in this problem. Why? 2. Which alternative should be chosen: sell as is or recondition. Why? 3. What is the opportunity cost of reconditioning the goods. Why?
- Boat Brothers has been asked to refit a boat for a customer. Skilled labour costing £16 per hour will be required for the refit. The workers will have to be taken off the production of kayak for resale for a total of 480 hours. The kayak are sold for £400 each and take 24 hours of skilled labour. The material cost of each kayak is 120. What is the relevant cost when assessing the viability of the refit contract? OA. £5,600 OB. £8,000 OC. £3,840 OD. £1,760 NextABC Consigned 15 construction machines to XYZ Co. The machines cost P450,000 each. Freight on the shipment which was paid by ABC amounted to P300,000. XYZ Co. submitted an account sale stating that they had sold 6 units and remitted P3,412,500 balance due to ABC after the following deductions: Commission 20% of selling price; Marketing expenses P325,000; Delivery of items sold 250,000; Delivery cost paid upon receipt of consignment 137,500. Compute for the selling price per unit.4- Our company paid 236,000 TL including 18% VAT to the seller for the machine it acquired to use in its activities, 21,240 TL including 18% VAT to the transport company for its transportation, and 15,000 TL for the assembly of the machine, excluding 18% VAT. What is the total cost of the relevant machine to the enterprise according to the cost cost measure? a) 253,700 TL B) 274,940 TL NS) 257,240 TL D) 233,000 TL TO) 200.000 TL