8. Compute for the net sales that would be reported in LIVA company’s Income Statement. You are assigned to prepare the financial statements of LIVACompany for the year 2021. The following data were madeavailable for you:Ending Inventory at Cost739,1603,930,00016,000Goods Available for Sale at retailSales DiscountNet markdowns48,500Net markups30,000Beginning inventory at retail1,450,0002,422,000Purchases at retailThe company adopts the average cost approach to estimatethe value of its inventory and the cost ratio is computed at68%.

Calculation of Gross Sales Gross Sales = Goods available for sale at retail - Ending inventory at…

Answered: available for you: Ending Inventory at…

Business

Accounting

available for you: Ending Inventory at Cost Goods Available for Sale at retail

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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