Activity 3. Comprehensive Problems. Solve the following problems below. Present your solutions in good format. For the next seven (6) items, use the information below: Debit Credit Account Title Sales Sales Returns and Allowances 875,000 12,000 10,000 295,000 Sales Discounts Purchases Purchases Returns and Allowances 14,000 Freight in Merchandise Inventory, 1/1/2020 Merchandise Inventory, 12/31/2020 Freight Out Office Salaries 36,000 46,000 20,000 75,000 125,000 15,000 Commission Expense
Activity 3. Comprehensive Problems. Solve the following problems below. Present your solutions in good format. For the next seven (6) items, use the information below: Debit Credit Account Title Sales Sales Returns and Allowances 875,000 12,000 10,000 295,000 Sales Discounts Purchases Purchases Returns and Allowances 14,000 Freight in Merchandise Inventory, 1/1/2020 Merchandise Inventory, 12/31/2020 Freight Out Office Salaries 36,000 46,000 20,000 75,000 125,000 15,000 Commission Expense
College Accounting (Book Only): A Career Approach
13th Edition
ISBN:9781337280570
Author:Scott, Cathy J.
Publisher:Scott, Cathy J.
Chapter10: Cash Receipts And Cash Payments
Section: Chapter Questions
Problem 1DQ: What is the normal balance for each of the following accounts: (a) Purchases? (b) Sales Discounts?...
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Question
![Activity 3. Comprehensive Problems. Solve the following problems below. Present
your solutions in good format.
For the next seven (6) items, use the information below:
Debit Credit
Account Title
Sales
875,000
Sales Returns and Allowances
Sales Discounts
Purchases
12,000
10,000
295,000
Purchases Returns and Allowances
14,000
Freight in
Merchandise Inventory, 1/1/2020
Merchandise Inventory, 12/31/2020
Freight Out
Office Salaries
Commission Expense
36,000
46,000
20,000
75,000
125,000
15,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7090c9da-3c4a-4872-bbe2-75b086fab29b%2F80bf59f9-b30e-4286-a3fb-b76206ad0dcc%2Fveft9si_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Activity 3. Comprehensive Problems. Solve the following problems below. Present
your solutions in good format.
For the next seven (6) items, use the information below:
Debit Credit
Account Title
Sales
875,000
Sales Returns and Allowances
Sales Discounts
Purchases
12,000
10,000
295,000
Purchases Returns and Allowances
14,000
Freight in
Merchandise Inventory, 1/1/2020
Merchandise Inventory, 12/31/2020
Freight Out
Office Salaries
Commission Expense
36,000
46,000
20,000
75,000
125,000
15,000
![6. The Profit or Loss for the period.
7. The following data pertain to the two year operation of Despacito business:
Year 1
P200,000
250,000
90,000
Despacito's gross profit for year 1 and year 2 is?
Year 2
Sales
Purchases
P250,000
150,000
40,000
Ending inventory
8. The cost of sale is P250,000. Total purchases amounted to P300,000 which increased
the total goods available for sale to P310,000. The ending inventory is?
9. 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.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7090c9da-3c4a-4872-bbe2-75b086fab29b%2F80bf59f9-b30e-4286-a3fb-b76206ad0dcc%2Fyhvg8u_processed.jpeg&w=3840&q=75)
Transcribed Image Text:6. The Profit or Loss for the period.
7. The following data pertain to the two year operation of Despacito business:
Year 1
P200,000
250,000
90,000
Despacito's gross profit for year 1 and year 2 is?
Year 2
Sales
Purchases
P250,000
150,000
40,000
Ending inventory
8. The cost of sale is P250,000. Total purchases amounted to P300,000 which increased
the total goods available for sale to P310,000. The ending inventory is?
9. 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.
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