3. During September an organisation had sales of £148,000, which showed a gross profit of £40,000. Purchases were £100,000 and opening inventory was £34,000. The value of closing inventory was: A. £24,000 B. £26,000 C. £42,000 D. £54,000

3. During September an organisation had sales of £148,000, which showed a gross profit of £40,000. Purchases were £100,000 and opening inventory was £34,000. The value of closing inventory was: A. £24,000 B. £26,000 C. £42,000 D. £54,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

3. During September an organisation had sales of £148,000, which showed a
gross profit of £40,000. Purchases were £100,000 and opening inventory
was £34,000. The value of closing inventory was:
A. £24,000
B. £26,000
C. £42,000
D. £54,000

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Below is an extract from Aluki Ltd.'s statement of financial position: Total current assets £40,000 Total current liabilities £20,000 If the company’s current ratio is 2:1 and its quick test (or acid ratio) is 1:1, what must the value of inventory be? a) £20,000 b) £40,000 c) £60,000 d) £30,000
2. What is the Cost of Goods Available for Sale for the year? Beginning Inventory: $10,000Purchase for the year: $113,000Freight-in for the shipping under F.O.B Shipping Point term: $5,000Purchase Discount for the year: $12,000Purchase Return for the year: $6,000End of the year physical inventory balance: $35,000
pm.5
Using the following information, what is the amount of gross profit? Purchases $ 25,449 Selling expense $ 970 Inventory, September 1 5,138 Inventory, September 30 8,660 Administrative expense 545 Sales 55,013 Rent revenue 844 Interest expense 907 A. $907 B. $21,927 C. $24,542 D. $33,086
97) A company had the following purchases and sales during its first month of operations: Date January 1 January 9 January 17 January 27 A) $84.00. B) $60.71. Activities C) $23.35. D) $46.70. E) $37.36. Purchase Sales Purchase Sales Units Acquired at Cost 10 units @ $4.00 = $40.00 8 units @ $5.50 = $44.00 Units Sold at Retail 6 units @ $12.00 Using the Periodic weighted average method, what is the value of cost of goods sold? (Round weighted average cost per unit to 2 decimal places.) 7 units @ $12.00