Step by step answer Brookfield's General Store generated revenuesof $75,000 during September. The company'sexpenses were as follows: cost of goods sold of$45,000 and operating expenses of $6,000. Thecompany also had rent revenue of $2,500 and again on the sale of office equipment of $3,500.Brookfield's net income for September is:a. $30,000 b. $33,000 c. $35,000 d. $34,500

Explanation of Net Income:Net income is the amount of profit a company earns after subtracting all…

Answered: Brookfield's General Store generated…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter4: Job Order Costing

Section: Chapter Questions

Problem 6EB: Langstons purchased $3,100 of merchandise during the month, and its monthly income statement shows a...

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1. During December, A Company started doing business and had gross credit trade sales of $800,000, terms 2/10 Net 30. The cost of goods sold of $480,000, selling general administration costs of $100,000, Interest Expense of $10,000; and an income tax rate of 30%. a. Prepare an income statement b. Prepare journal entries Assuming gross method and all payments for the trade sales were made within 10 days.
General Accounting
The gross sales of Store C were $3,475,000. The customer returns were $31.700. What were the net sales?
Company A sold merchandise for $171,000 cash during July. Returns that month totaled $3,600. If the company's gross profit rate is 40%, the company will report monthly net sales revenue and cost of goods sold of O $167,400 and $100,440. O $171,000 and $100,440. $171.000 and $102,600. O $167,400 and $66,960
During March, Sam Company had cash sales of $35,000 and sales on account of $210,000. In April, payments on account totaled $175,000. The journal entry prepared by Sam to record the March sales would include a debit to: A. Cash for $35,000, debit to accounts receivable for $210,000, and credit to sales revenue for $245,000 B. Cash for $35,000, debit to deferred revenue for $210,000, and credit to sales revenue for $245,000 C. Cash for $35,000, debit to accounts payable for $210,000, and credit to sales revenue for $245,000 D. Cash and credit to sales revenue for $35,000
The condensed product-line income statement for Suffolk China Ware Company for the month of May is as follows: Suffolk China Ware CompanyProduct-Line Income StatementFor the Month Ended May 31 Bowls Plates Cups Sales $65,700 $90,200 $26,400 Cost of goods sold 25,900 32,000 14,800 Gross profit $39,800 $58,200 $11,600 Selling and administrative expenses 29,900 34,300 15,400 Income from operations $9,900 $23,900 $(3,800) Fixed costs are 14% of the cost of goods sold and 35% of the selling and administrative expenses. Suffolk China Ware assumes that fixed costs would not be materially affected if the Cups line were discontinued. a. Prepare a differential analysis dated May 31 to determine if Cups should be continued (Alternative 1) or discontinued (Alternative 2). If an amount is zero, enter "0". For those boxes in which you must enter subtracted or negative numbers use a minus sign. Differential Analysis…
The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: Current assets as of March 31: Cash Accounts receivable Inventory Building and equipment, net Accounts payable Common stock Retained earnings a. The gross margin is 25% of sales. b. Actual and budgeted sales data: March (actual) April May $ 7,600 $ 20,400 $ 40,200 $128,400 $ 23,925 $ 150,000 $ 22,675 $51,000 $ 67,000 $ 72,000 June July $ 97,000 $ 48,000 c. Sales are 60% for cash and 40% on credit. Credit sales are collected in the month following sale. The accounts receivable at March 31 are a result of March credit sales. d. Each month's ending inventory should equal 80% of the following month's budgeted cost of goods sold. e. One-half of a month's inventory purchases is paid for in the month of purchase; the other half is paid for in the following month. The accounts payable at March 31 are the result of March purchases of Inventory. £ Monthly expenses are as follows:…
Financial Accounting
The following data relate to the operations of Shilow Company, a wholesale distributor of consumer goods: Current assets as of March 31: $ 7,500 $ 20,000 $ 39,600 $ 127,200 $ 23,550 $ 150,000 $ 20,750 Cash Accounts receivable Inventory Building and equipment, net Accounts payable Common stock Retained earnings a. The gross margin is 25% of sales. b. Actual and budgeted sales data: $ 50,000 $ 66,000 $ 71,000 $ 96,000 $ 47,000 March (actual) April May June July c. Sales are 60% for cash and 40% on credit. Credit sales are collected in the month following sale. The accounts receivable at March 31 are a result of March credit sales. d. Each month's ending inventory should equal 80% of the following month's budgeted cost of goods sold. e. One-half of a month's inventory purchases is paid for in the month of purchase; the other half is paid for in the following month. The accounts payable at March 31 are the result of March purchases of inventory. f. Monthly expenses are as follows:…
Langstons purchased $3,100 of merchandise during the month, and its monthly income statement shows a cost of goods sold of $3,000. What was the beginning inventory if the ending inventory was $1,250?
During the current year, Sokowski Manufacturing earned income of $350,000 from total sales of $5,500,000 and average capital assets of $12,000, 000. What is the sales margin?
Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Refer to Exercise 2.21. Last calendar year, Ellerson recognized revenue of 1,312,000 and had selling and administrative expenses of 204,600. Required: 1. What is the cost of goods sold for last year? 2. Prepare an income statement for Ellerson for last year.

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