Company XYZ is a smart phone merchant. The company purchases smart phones directly from the manufacturer and sells them to customers. During the month of April, the company purchased 55 smart phones and paid $800 for each one. The company managed to sell 50 smart phones during the same month for $1,100 each. The company incurred total Selling and Administrative costs of $4,000 of which 20% is fixed costs. ?Assume that XYZ did not have a beginning inventory during April, what was the gross margin ($) for April 7,800 a O 11,800 b O 15,000 .cO 11,000 d O None of the given answers e O

Company XYZ is a smart phone merchant. The company purchases smart phones directly from the manufacturer and sells them to customers. During the month of April, the company purchased 55 smart phones and paid $800 for each one. The company managed to sell 50 smart phones during the same month for $1,100 each. The company incurred total Selling and Administrative costs of $4,000 of which 20% is fixed costs. ?Assume that XYZ did not have a beginning inventory during April, what was the gross margin ($) for April 7,800 a O 11,800 b O 15,000 .cO 11,000 d O None of the given answers e O

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Company XYZ is a smart phone merchant. The company purchases smart phones directly from the manufacturer and sells them to customers. During the month of April, the company purchased 55 smart phones and paid $800 for each one. The company managed to sell 50 smart phones during the same month for $1,100 each. The company incurred total Selling and Administrative costs of $4,000 of which 20% is fixed costs. Assume that XYZ did not have a ?beginning inventory during April, what was the gross margin ($) for April 7,800 .a O None of the given answers .b O 15,000 .c O 11,000 d O 11,800 .e O
14. Company XYZ is a smart phone merchant. The company purchases smart phones directly from the manufacturer and sells them to customers. During the month of April, the company purchased 60 smart phones and paid $ 900 for each one. The company managed to sell 55 smart phones during the same month for $ 1,200 each. The company incurred total Selling and Administrative costs of $ 4,000 of which 20% is fixed costs. Assume that XYZ did not have a beginning inventory during April, what was the gross margin ($) for April?
Company XYZ is a smart phone merchant . The company purchases smart phones directly from themanufacturer and sells them to customers . During the month of April , the company purchased 50 smart phones and paid $700 for each one . The company managed to sell 45 smart phones during the same month for $1,000 each . The company incurred total Selling and Administrative costs of $4,000 of which 20 % is fixedcosts . Assume that XYZ did not have a beginning inventory during April , what was the gross margin ( $) for April ? a. 13,500 b. None of the given answers c. 10,300 d. 9,500 e. 6,800
Company XYZ is a smart phone merchant. The company purchases smart phones directly from the manufacturer and sells them to customers. During the month of April, the company purchased 65 smart phones and paid $1,000 for each one. The company managed to sell 60 smart phones during the same month for $1,300each. The company incurred total Selling and Administrative costs of $4,000 of which 20% is fixed costs. Assume that XYZ did not have a beginning inventory during April, what was the gross margin ($) for April? O a. 18,000 O b. None of the given answers O c. 14,00O O d. 14,800 O e. 9,800
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[The following information applies to the questions displayed below.] Home Hardware reported beginning inventory of 30 shovels, for a total cost of $90. The company had the following transactions during the month: January 2 Sold 7 shovels on account at a selling price of $10 per unit. January 16 Sold 12 shovels on account at a selling price of $10 per unit. January 18 Bought 4 shovels on account at a cost of $3 per unit. January 19 Sold 12 shovels on account at a selling price of $10 per unit. January 24 Bought 12 shovels on account at a cost of $3 per unit. January 31 Counted inventory and determined that 13 units were on hand. 3-a. What is the dollar amount of shrinkage that you were able to determine in periodic inventory system? 3-b. What is the dollar amount of shrinkage that you were able to determine in perpetual inventory system? Do not give answer in image