2. Happy Selling Company's salaries to sales agents amounted to Php 10,000. Salaries of accountants amounted to Php 20,000. No other expenses were incurred. How much is the company's general and administrative expense? Answer: P20,000.
2. Happy Selling Company's salaries to sales agents amounted to Php 10,000. Salaries of accountants amounted to Php 20,000. No other expenses were incurred. How much is the company's general and administrative expense? Answer: P20,000.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
I just need Solutions for my review. Thanks.
Transcribed Image Text:2. Happy Selling Company's salaries to sales agents amounted to Php 10,000. Salaries of accountants
amounted to Php 20,000. No other expenses were incurred. How much is the company's general
and administrative expense?
Answer: P20,000.
Medium:
1. Happy Selling's beginning inventory amounted to 250,000. Net purchases amounted to 70,000.
Freight In totaled 15,000. Compute for the company's cost of goods available for sale.
Answer: P335,000.
2. Happy Selling's Sales amounted to Php 500,000. Sales returns and sales discounts amounted to Php
30,000 and Php 10,000 respectively. Purchases of the company totaled Php 100,000 while purchase
returns and purchase discounts amounted to Php 20,000 and Php 10,000 respectively. How much is
the company's Net Sales? Net Purchases?
Answer: Net sales - P460,000; Net Purchases - P70,000
Difficult
1. Company's Cost of Goods Sold amounted to Php 285,000. Net cost of purchases totaled Php
85,000. Beginning inventory amounted to Php 250,000. Sales amounted to Php 500,000. Compute
for the company's Ending Inventory.
Answer: P50,000.
2. Gross profit of Happy Selling amounted to Php 175,000. Beginning Inventory totaled Php 250,000.
Ending Inventory amounted to Php 50,000 while Net Cost of Purchases totaled Php 85,000.
Compute for Happy's Net Sales.
Answer: P460,000
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
Recommended textbooks for you
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,
Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,
Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON
Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education
Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education