Artisan Inspiration, Inc. is a merchandiser of stone ornaments. The company sold 7,500 units during the year. Thecompany has provided the following information:Sales RevenuePurchases (excluding Freight In)Selling and Administrative ExpensesFreight InBeginning Merchandise InventoryEnding Merchandise Inventory$599,000301,00069,00014,00045,00042,000What is the operating income for the year? (Round your answer to the nearest whole dollar.)OA. $318,000OB. $281,000OC. $530,000OD. $212,000

COGS=Beginning Inventory+Purchases+Freight In−Ending Inventory= 45,000+301,000+14,000−42,000=…

Answered: Artisan Inspiration, Inc. is a…

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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Relic Industries manufactures and markets many products you use every day. In 2019, sales for the company were $93,000 (all amounts in millions). The annual report did not report the amount of credit sales, so we will assume that all sales were on credit. The average gross profit percentage was 51.2 percent. Account balances for the year follow: Accounts receivable (net) Inventory Beginning $ 5,300 6,080 Required: 1. Compute the turnover ratios for accounts receivable and inventory. 2. By dividing 365 by your ratios from requirement 1, calculate the average days to collect receivables and the average days to sell inventory. Required 1 Required 2 Ending $ 5,700 6,100 Complete this question by entering your answers in the tabs below. Receivables Turnover Ratio Inventory Turnover Ratio Compute the turnover ratios for accounts receivable and inventory. (Do not round intermediate calculations. Round your final answers to 1 decimal place.)
Artisan Inspiration, Inc. is a merchandiser of stone ornaments. The company sold 8,000 units during the year. The company has provided the following information: Sales Revenue Purchases (excluding Freight In) Selling and Administrative Expenses Freight In Beginning Merchandise Inventory Ending Merchandise Inventory What is the operating income for the year? (Round your answer to the nearest whole dollar.) OA. $320,000 OB. $247,000 OC. $178,000 OD. $498,000 $567,000 305,000 69,000 15,000 43,000 43,000 C
During the current year, merchandise is sold for $54,400 cash and for $81,400 on account. The cost of the goods sold is $88,270. What is the amount of the gross profit? %24
During the current year, merchandise is sold for $366,100 cash and $1,420,000 on account. The cost of the merchandise sold is $1,014,300. What is the amount of the gross profit?
During the current year, merchandise is sold for $56,800 cash and for $85,600 on account. The cost of the goods sold is $92,560. What is the amount of the gross profit?
Using the information below, calculate gross profit for the period. Sales $1,264,000 Selling expenses 235,000 Finished Goods Inventory, beginning 35,600 Finished Goods Inventory, ending 40,600 Cost of goods manufactured 520,000 $749,000. $515,000. $754,000. $432,800. $510,000.
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Northwest Fur Company started the year with $91,000 of inventory on hand. During the year, $450,000 in inventory was purchased on account with credit terms of 1/15, n/45. All discounts were taken. Northwest paid freight-in charges of $8,000. Inventory with an invoice amount of $4,200 was returned for credit. Cost of goods sold for the year was $376,000. What is ending inventory? 3 012126 Multiple Choice $164,342 $74,000 $160,337 $168,800
[The following information applies to the questions displayed below.]Ferris Company began January with 4,000 units of its principal product. The cost of each unit is $8. Merchandise transactions for the month of January are as follows: Purchases Date of Purchase Units Unit Cost* Total Cost Jan. 10 3,000 $ 9 $ 27,000 Jan. 18 4,000 10 40,000 Totals 7,000 67,000 * Includes purchase price and cost of freight. Sales Date of Sale Units Jan. 5 2,000 Jan. 12 1,000 Jan. 20 3,000 Total 6,000 5,000 units were on hand at the end of the month. 5. Calculate January's ending inventory and cost of goods sold for the month using Average cost, perpetual system. (Round average cost per unit to 4 decimal places. Enter sales with a negative sign.)
Sellall Department Stores reported the following amounts as of its December 31 year-end: Administrative Expenses, $2,400; Cost of Goods Sold, $22,728; Income Tax Expense, $3,000; Interest Expense, $1,600; Interest Revenue, $200; General Expenses, $2,600; Net Sales, $37,880; and Delivery (freight-out) Expense, $300. Required: 1. Calculate the gross profit percentage. 2. How has Sellall performed, relative to the 24.5 percent gross profit percentage reported for Walmart in 2019? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answer and double click the box with the question mark to empty the box for a wrong answer.)check all that apply Sellall Department Stores earned a higher gross profit percentage than Walmart. Walmart earned a higher gross profit percentage than Sellall Department Stores. Sellall includes more mark-up in the prices it charges customers than Walmart. Walmart includes more mark-up in prices it…
The owner of a large machine shop has just finished its financial analysis from the prior fiscal year. Following is an excerpt from the final report: Net revenue Cost of goods sold Value of production materials on hand Value of work-in-process inventory Value of finished goods on hand $375,000 322,000 42,500 37,000 12,500 a. Compute the inventory turnover ratio (ITR). (Round your answer to 1 decimal place.) Inventory turnover ratio per year b. Compute the weeks of supply (WS). (Do not round intermediate calculations. Round your answer to 1 decimal place.) Weeks of supply
At the end of January, Mineral Labs had an inventory of 905 units, which cost $13 per unit to produce. During February the company produced 1,550 units at a cost of $17 per unit. a. If the firm sold 2,150 units in February, what was the cost of goods sold? (Assume LIFO inventory accounting.) b. If the firm sold 2,150 units in February, what was the cost of goods sold? (Assume FIFO inventory accounting.)

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