ABC Company includes 1 coupon in each box of coffee it sells. A planner is offered as a premium to customers who send in 10 coupons and a remittance of P10. Distribution cost of premium is P5. Experience indicates that only 30% of the coupons will be redeemed. Boxes of coffee sold: 2022 - 800,000; 2023 - 1,000,000 No. of planners purchased at P150 each: 2022 - 20,000; 2023 - 32,000 Coupons redeemed: 2022 - 160,000; 2023 - 280,000 What is the premium expense for 2022

Q: Advisory Company inciudes one coupon in each of laundry soap sells. A towel is offered as a premium…

A: Introduction formula Premium Expense = (Ending Premium to be Distributed+ Premium Distributed -…

Q: In an effort to increase sales, Relay Company inaugurated a sales promotional campaign on June 30,…

A: The liabilities are the amount that company owes to its creditors and due to be paid.

Q: During 2021, Truffle Company sold 500,000 boxes of hotcakes under a new sales promotional program.…

A: The unredeemed coupon is treated as a liability because the company either has to provide goods or…

Q: Marichu Company manufactures a special product. To promote the sale of the product, a premium is…

A: Here calculation of Premium expenses which are incurred in the financial year of 2022.  For…

Q: Marin Shed Solutions sells its largest shed for $1,100 plus HST of 13 %. On May 10, 2024, it sold 26…

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Q: Determine the best order size of shirts.

A:

Q: shoe store marks up the price of its shoes at 140% over cost. A pair of shoes goes on sale for 20%…

A: The answer is as fallows

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A: To calculate the number of bottles that Great Tasting Soft Drinks needs to sell to make a profit…

Q: Muggs Co. includes one coupon in each bag of dog food it sells. In return for eight coupons,…

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Q: Novak Company offers a set of building blocks to customers who send in 3 UPC codes from Novak…

A: The objective of the question is to prepare the adjusting entry for Novak's company on December 31,…

Q: ten empty packs returned to Brownie, customer will receive an attractive food container. The company…

A: Estimated liability (EL) refers to the obligation against which there is no definitive amount but…

Q: Maximum Inc. (retailer) has a loyalty program that rewards its customers one point per $1 spent.…

A: Journal is the primary book where the transactions are originally recorded. Further, a journal entry…

Q: Cullumber Bakery began selling gift cards in 2025. Based on industry norms, they expect that 40% of…

A: Gift card purchases are recorded as deferred revenue and subsequently recognized as revenue as the…

Q: Sheridan Candy Company offers a coffee mug as a premium for every ten $1 candy bar wrappers…

A: Cost of Mug $   2.40   Cost of Mail $   1.60   Total Cost $  4.00   Less: Sale Price $   2.00…

Q: Expense approach. Required: Prepare the journal entries required for 2020 using the Expense…

A: Journal entries refer to the process of collecting and documenting all the data of a company in its…

Q: ABC began marketing a new milk tea called “ Accountantea”. Each bottle of accountantea sells for P…

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Q: WENDOLYN Company manufactures noodles. To promote the sale of GWENDOLYN's products, premium is…

A: Introduction As per IAS, Revenue recognition as per contract says that if there is premium or…

Q: Debit

A: Refund liability is the amount of sale revenue that the company does not expect or is entitled to.…

Q: Charlotte sells widgets that cost $50 each to purchase and prepare for sale. Annual sales are 10,000…

A:

Q: Sterling Co. includes one coupon in each bag of dog food it sells. In return for 4 coupons,…

A: Premium expenses incur when organisation gives any offer to its customers. The estimated cost will…

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A: Journal entries are those which are recorded for every transaction which takes place during the…

Q: (a) Determine the amount of markup (in dollars) the dealer applies to each smartphone to se at the…

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A: Optimum quantity is the quantity which is to be produced in such a way that it incurs minimum cost…

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Q: Home Depot sells a couch for $250.50. The dollar amount of markup on the couch is $95.72. Round all…

A: Markup percentage is a measure of how much a product's selling price exceeds its cost of production…

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A: Gross Profit is the difference between the Selling price of the good or service and all the expenses…

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A: Answer:- In a company's accounting records, a business transaction is documented in a journal…

Q: On March 1, 2026, XYZ Company paid $185,000 to purchase 250,000 coffee mugs to sell at its retail…

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Q: The Georgia Company sells inventory but also allows returns. Georgia sells items for $100 per item.…

A: The transaction, which is measurable in monetary terms, is an economic event with a third party…

Q: Pine Company offers a coffee mug as a premium for every ten P2.50 candy bar wrappers presented by…

A: Answer -  Premium Liability -  Premium Liabilities “refer to all future claim payments and related…

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Q: lph Nurseries purchased seeds costing $25,00 with terms of 3/15 net 30 EOM on January 12. Show…

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Q: Essence of Skunk Fragrances, Limited, sells 4,000 units of its perfume collection each year at a…

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Q: Jump & Play Inc. sold 10 outdoor playsets to BigMart Co.  The playsets are listed at $1,500 each;…

A: Receivable will be recorded at the listed price less trade discount.

Q: Assume Costco wants to compete with large manufacturers of golf bags. Costco begins selling a new…

A: Given:

Q: Boost inc sells vitamin supplements to customers with an unconditional sales return if they are not…

A: Journal entries are the building blocks of accounting, which is the act of recording the economic or…