Blue Company had the following account balances at year-end: Cost of Goods Sold $61,200, Inventory $14,550, Utilities Expense $29,960, Sales Revenue $120,310, Sales Discounts $1,080, and Sales Returns and Allowances $1,750. A physical count of inventory determines that merchandise inventory on hand is $12.180. They use the perpetual inventory system.

Blue Company had the following account balances at year-end: Cost of Goods Sold $61,200, Inventory $14,550, Utilities Expense $29,960, Sales Revenue $120,310, Sales Discounts $1,080, and Sales Returns and Allowances $1,750. A physical count of inventory determines that merchandise inventory on hand is $12.180. They use the perpetual inventory system.

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Financial Accounting

14th Edition

ISBN:9781305088436

Author:Carl Warren, Jim Reeve, Jonathan Duchac

Publisher:Carl Warren, Jim Reeve, Jonathan Duchac

Chapter7: Inventories

Section: Chapter Questions

Problem 5PA

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Similar questions

Under the periodic inventory system, what account is debited when an estimate is made for sales made this year, but expected to be returned next year? (a) Sales Returns and Allowances (b) Merchandise Inventory (c) Customer Refunds Payable (d) Sales
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