CFT Corporation uses the cash basis of accounting. During the year, CFT Corporation made $620,000 in payments to its suppliers. The company's beginning inventory was $30,000, and its ending inventory was $50,000. Additionally, CFT had a beginning accounts payable of $70,000 and an ending accounts payable of $90,000. What is CFT Corporation's Cost of Goods Sold (COGS) under the accrual basis of accounting?

CFT Corporation uses the cash basis of accounting. During the year, CFT Corporation made $620,000 in payments to its suppliers. The company's beginning inventory was $30,000, and its ending inventory was $50,000. Additionally, CFT had a beginning accounts payable of $70,000 and an ending accounts payable of $90,000. What is CFT Corporation's Cost of Goods Sold (COGS) under the accrual basis of accounting?

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 3RE: Shaquille Corporation began the current year with inventory of 50,000. During the year, its...

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Shaquille Corporation began the current year with inventory of 50,000. During the year, its purchases totaled 110,000. Shaquille paid freight charges of 8,500 for those purchases. At the end of the year, Shaquille had inventory of 47,800. Prepare a schedule to determine Shaquille's cost of goods sold for the current year.
Brandt Corporation had sales revenue of 500,000 for the current year. For the year, its cost of goods sold was 240,000, its operating expenses were 50,000, its interest revenue was 2,000, and its interest expense was 12,000. Brandts income tax rate is 30%. Prepare Brandts multiple-step income statement for the current year.
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How much is net income?
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