Accordingly, 15% of rent, depreciation, and utility expenses pertain to the sales office while the rest pertains to the corporate office. Questions: How much is the net sales for the year? How much is the cost of sales for the year?  How much is the gross profit for the year?

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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Accordingly, 15% of rent, depreciation, and utility expenses pertain to the sales office while the rest pertains to the corporate office.

Questions:

  1. How much is the net sales for the year?
  2. How much is the cost of sales for the year? 
  3. How much is the gross profit for the year?
  4. How much is the net income for the year? 
  5. Prepare a statement of comprehensive income.
  6. Prepare a financial statement. 
Case XII – Regina Merchandising
The following are the accounts of Regina Merchandising for
December 31, 2017:
Sales
2,500,000
Salaries Expense
Supplies Expense
Depreciation Expense
Utilities Expense
(50,000)
(75,000)
160,000)
(40,000)
Insurance Expense
(20,000)
(90,000)
(50,000)
(1,500,000)
100,000
(5,000)
Rent expense
Beginning Inventory
Purchases
Ending Inventory
In
Sales Discount
You were employed by the entity as its bookkeeper in its first
year of operations. You are now to prepare
financial statements for the current year.
the necessary
Transcribed Image Text:Case XII – Regina Merchandising The following are the accounts of Regina Merchandising for December 31, 2017: Sales 2,500,000 Salaries Expense Supplies Expense Depreciation Expense Utilities Expense (50,000) (75,000) 160,000) (40,000) Insurance Expense (20,000) (90,000) (50,000) (1,500,000) 100,000 (5,000) Rent expense Beginning Inventory Purchases Ending Inventory In Sales Discount You were employed by the entity as its bookkeeper in its first year of operations. You are now to prepare financial statements for the current year. the necessary
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