At the end of the current period, a company checks its physical inventory against its records and discovers the following. 1,700 units (products) were in the warehouse. . . 23 of the 1,700 units in the warehouse were destroyed when a storage shelf collapsed. 180 units were loaded in a trailer. The units are to be delivered to a customer, terms FOB destination. . 140 units were out on consignment to a retailer. Determine the number of units in the company's period-end inventory. Units in Ending Inventory Units of Product in warehouse: Add: Less: Total units in period-end inventory 1,700 units units
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- Wildhorse Company commenced operations on July 1. Wildhorse Company uses a periodic inventory system. During July, Wildhorse Company was involved in the following transactions and events: July 2 Purchased $14,600 of merchandise from Suppliers Inc. on account, terms 2/10, n/30, FOB shipping point. 3 Returned $1,200 of merchandise to Suppliers inc. as it was damaged. Received a credit on account from Suppliers 4 Paid $590 of freight costs on July 2 shipment. 8 Sold merchandise for $3,000 cash. 11 Paid Suppliers Inc. the full amount owing 15 25 2 NG Sold merchandise for $6,400 on account, 1/10, n/30, FOB shipping point. Received full payment for the merchandise sold on July 25. 31 Wildhorse did a physical count and determined there was $10.100 of inventory on hand. Record the transactions in Wildhorse Company's books. (Credit account titles are automatically indented when the amount is entered. Do not indent manually. If no entry is required, select "No Entry for the account titles and…The client recorded 100 Dell desktop computers in the inventory account on 30 June 2021. Each costs $2800. The auditor performed a physical count on 6 July 2021 and found 80 units in the warehouse. Which of the following follow-up procedures is not directly relevant for auditors to verify the existence of inventory at the financial year-end? Auditors enquire various warehouse staff about inventory disposals between 1 July and 6 July. The auditor takes a sample of sales invoices and matches them to shipping documents. For the missing inventory items without legitimate explanation, the auditor recommends the client adjust for the amount overstated. The auditor could obtain an inventory movement register from the client warehouse manager to see if the client sold this model between 1 July and 6 July. Auditors enquire the warehouse manager about inventory disposals between 1 July and 6 July.Late in the year, Software City began carrying WordCrafter, a new word processing software program. At December 31, Software City's perpetual Inventory records included the following cost layers in its Inventory of WordCrafter programs. Purchase Date Nov. 14 Dec. 12 Total available for sale at Dec. 31 Quantity 10 28 38 Unit Cost $ 400 320 $ Total Cost $ 4,000 8,960 $12,960 a. At December 31, Software City takes a physical Inventory and finds that all 38 units of WordCrafter are on hand. However, the current replacement cost (wholesale price) of this product is only $250 per unit. 1. Prepare the entries to record this write-down of the Inventory to the lower-of-cost-or-market at December 31. (Company policy is to charge LCM adjustments of less than $2,000 to Cost of Goods Sold and larger amounts to a separate loss account.) 2. Prepare the entries to record the cash sale of 32 WordCrafter programs on January 9, at a retail price of $380 each. Assume that Software City uses the FIFO flow…
- RakeshSandvik Mining uses a periodic inventory system. One of the company’s products is a special equipment for the oil drilling rig. The inventory quantities, purchases and sales of this equipment for the most recent year are as follows: Using the periodic costing procedures, compute the cost of December 31 inventory and the cost of goods sold for the year under each of the following cost assumptions: First-in, first-out Last-in, first-out Average cost (round to the nearest dollar, except unit cost)Your review of Mine Company's inventory and related records for the year revealed the following information:Inventory, 1/1 - 450,000Purchases -3,150,000Sales -4,200,000You conducted a physical inventory on December 31 and determined P450,000 was in the company's warehouse. The management suspects some new employees may have pilfered a portion of the merchandise inventory.What is the cost of the missing inventory assuming that Mine's gross profit remains at 30% of sales?
- On January 15, 2018, Walmart sold 1,700 fishing reels to Costco. Immediately prior to this sale, Walmart perpetual inventory records for reels included the following cost layers: Instructions Prepare a separate journal entry to record the cost of goods sold relating to the January 15 sale of 1,700 reels, assuming that Walmart uses: Specific identification (700 of the units sold were purchased on December 12, and the remaining 1’000 were purchased on January 9).Quiz Sandoval needs to determine its year-end inventory. The warehouse contains 22,000 units, of which 3,200 were damaged by flood and are not sellable. Another 2,200 units were purchased from Markor Company, FOB shipping point, and are currently in transit. The company also consigns goods and has 4,200 units at a consignee's location. How many units should Sandoval include in its year-end inventory? Multiple Choice 23,000 31,600 20,800 25,200 28,400Concord Corporation's retail store and warehouse closed for an entire weekend while the year-end inventory was counted. When the count was finished, the controller gathered all the count books and information from the clerical staff, completed the ending inventory calculations, and prepared the following partial income statement for the general manager for Monday morning: Sales Beginning inventory Purchases Total goods available for sale Less: Ending inventory Cost of goods sold Gross profit 642,000 untany 1,550,000 4 2,192,000 642,000 $ 2,741,000 The general manager called the controller into her office after quickly reviewing the preliminary statements. "You've made an error in the inventory," she stated. "My pricing all year has been carefully controlled to provide a gross profit of 35%, and I know the sales are correct." (a) How much should the ending inventory have been? 1,550,000 $1,191,000