BlueJay Corporation has sales of $200,000 and cost of goods available for sale of $180,000. If the gross profit rate is 25%, the estimated cost of the ending inventory under the gross profit method is: a. $30,000 b. $50,000 c. $130,000 d. $150,000

BlueJay Corporation has sales of $200,000 and cost of goods available for sale of $180,000. If the gross profit rate is 25%, the estimated cost of the ending inventory under the gross profit method is: a. $30,000 b. $50,000 c. $130,000 d. $150,000

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 2MC: The following information is available for Cooke Company for the current year: The gross margin is...

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Question

General accounting

BlueJay Corporation has sales of $200,000 and cost of goods
available for sale of $180,000. If the gross profit rate is 25%, the
estimated cost of the ending inventory under the gross profit
method is:
a. $30,000
b. $50,000
c. $130,000
d. $150,000

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