BILLS Inc. had the following transactions for the month of August: Aug. 1 Inventory at the beginning of the month consisted of 1,000 units @ P20 each. Purchased 9,000 units from AA Supplier for P180,000 on account. 10 Sold 8,000 units @ P35 each on account. 13 Returned 1,000 defective units to AA Supplier. 14 Paid AA supplier in full. 18 The customer returned 3,000 units from August 10 sale. The goods were in good condition. 20 Collected accounts receivable amounting to P140,000. 30 Conducted physical count of inventory. Units on hand consisted of 3,500 units. Q1. Using the periodic inventory system, what is the amount of Cost of goods sold on August 31? а. P150,000 b. P110,000 с. P100,000 d. P130,000 3.

BILLS Inc. had the following transactions for the month of August: Aug. 1 Inventory at the beginning of the month consisted of 1,000 units @ P20 each. Purchased 9,000 units from AA Supplier for P180,000 on account. 10 Sold 8,000 units @ P35 each on account. 13 Returned 1,000 defective units to AA Supplier. 14 Paid AA supplier in full. 18 The customer returned 3,000 units from August 10 sale. The goods were in good condition. 20 Collected accounts receivable amounting to P140,000. 30 Conducted physical count of inventory. Units on hand consisted of 3,500 units. Q1. Using the periodic inventory system, what is the amount of Cost of goods sold on August 31? а. P150,000 b. P110,000 с. P100,000 d. P130,000 3.

Century 21 Accounting Multicolumn Journal

11th Edition

ISBN:9781337679503

Author:Gilbertson

Publisher:Gilbertson

Chapter20: Accounting For Inventory

Section: Chapter Questions

Problem 1MP

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3.
BILLS Inc. had the following transactions for the month of August:
Aug. 1 Inventory at the beginning of the month consisted of 1,000 units @ P20 each.
7 Purchased 9,000 units from AA Supplier for P180,000 on account.
10
Sold 8,000 units @ P35 each on account.
Returned 1,000 defective units to AA Supplier.
Paid AA supplier in full.
The customer returned 3,000 units from August 10 sale. The goods were in good
13
14
18
condition.
20
Collected accounts receivable amounting to P140,000.
30 Conducted physical count of inventory. Units on hand consisted of 3,500 units.
Q1. Using the periodic inventory system, what is the amount of Cost of goods sold on August 31?
а.
P150,000
b.
P110,000
C.
P100,000
d. P130,000
Q2. Using the perpetual inventory system, what is the amount of Cost of goods sold on August 31?
a.
P150,000
b.
P110,000
C.
P100,000
d. P160,000

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