Corona Company incurred the following costs: Materials P 700,000 Storage costs of finished goods 180,000 Delivery to customers 40,000 Irrevocable Purchase Taxes 60,000 What amount should the inventory be measured? a. 880,000 b. 760,000 c. 980,000 d. 940,000

Corona Company incurred the following costs: Materials P 700,000 Storage costs of finished goods 180,000 Delivery to customers 40,000 Irrevocable Purchase Taxes 60,000 What amount should the inventory be measured? a. 880,000 b. 760,000 c. 980,000 d. 940,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: What would be NUBD’s finished inventory cost at December 31, 2021 under the variable costing method?…

A: Under the variable costing, only variable cost of goods manufactured are taken as a product cost.…

Q: need answer of this question provide correct answer without any problem

A: (1) The cost of goods sold for this company is: The beginning finished goods inventory represents…

Q: Sunland company provided the following information of its two products: Product A Product B $20 $90…

A: The lower of cost or market value rule is the concept used to report the value of inventory in the…

Q: Sales $ 435,000 Beginning merchandise inventory $ 29,000 Purchases $ 290,000 Ending merchandise…

A: “Since you have posted a question with multiple sub-parts, we will solve first three sub-parts for…

Q: Cheap Sheep Company developed the following information about its inventories in applying the lower…

A: Inventory: It can be defined as all the goods, items, materials, and merchandise that are held by a…

Q: None

A: Correct option:B. $890,000 Show formula version of the detailed solution sheet for a better…

Q: Sales Revenue Cost of Goods Manufactured Beginning Finished Goods Inventory Ending Finished Goods…

A: To calculate the gross profit, we first need to calculate the cost of goods sold (COGS), then…

Q: XYX company provided the following information for the current year: Uncollectible accounts expense…

A: Another term for this kind of profit is “income from continuing operations,” since discontinued…

Q: of 3 ook ences Required information [The following information applies to the questions displayed…

A: The objective of the question is to calculate the gross margin for Mason Company using three…

Q: Please true answer

A: Step 1: Introduction to the Generally Accepted Accounting PrinciplesThe Generally Accepted…

Q: Payton Corporation provided the following information for the year: Beginning Balance-Work-in -…

A: Cost of goods manufactured includes total manufacturing costs and all changes in work in process…

Q: Ibe Corporation has an EUP of 248,750 units. Beginning inventory units of 22,500, 40% incomplete;…

A: Weighted average method: Unit Conversion cost = Total conversion cost / EUP

Q: What is the correct answer to question 1 and 2? Provide solution.

A: Computation of net realisable value Selling price - estimated selling cost For X 2,000,000 - 600,000…

Q: The following information pertains to one item of inventory of the Simon Company: Cost Per unit $…

A: The LCM technique is an accounting theory that is used to value inventory at the lower of its…

Q: .The following data were related to ABC Corp. COST…

A: The ending inventory can be calculated on the basis of the cost to retail ratio. It can be…

Q: es The following information pertains to Mason Company for Year 2: Beginning inventory 110 units @…

A: The cost of goods sold is the formula that determines the cost of products sold during the financial…

Q: Music, Inc. had the following beginning and ending values in its three inventory accounts: Raw…

A: Gross profit refers to the difference of total revenue and direct costs associated with the…

Q: Beginning Merchandise Inventory $11,20,000 Sales commission $ 5,850 Direct wage $ 1, 00,000 Other…

A: Prime cost comprises of direct materials, direct wages, and direct expenses.

Q: The December 31, 2025 inventory of Migos Company consisted of four products, for which certain…

A: Lower of cost or market is an approach to valuation of inventory. The concept of lower of cost and…

Q: Required information [The following information applies to the questions displayed below.] Finion…

A: Cost of goods sold = Beginning finished goods inventory + Cost of goods manufactured - ending…

Q: X Company had $90,000 of ending finished goods inventory, beginning finished goods inventory was…

A: Gross profit can be calculated by deducting the cost of goods sold from sales revenue.

Q: None

A: To determine the net profit, we need to calculate the cost of goods sold (COGS) and then subtract it…

Q: Hagrid Gardening Corporation manufactures gardening products. The following information relates to…

A: Cost of goods manufactured: Cost of goods manufactured means total manufacturing costs; including…

Q: Format: 11,111 The following information was extracted from the first year absorption- accounting…

A: solution: concept : Period cost are not included in cost of goods sold Total variable cost…

Q: Cost of Goods Sold Beginning Inventory Add: Purchases…

A: Gross Profit is computed by subtracting the cost of sales from total sales revenue. Cost of goods…

Q: The inventory of Royal Decking consisted of five products. Information about the December 31, 2021,…

A: Computation of sales commission, Shipping cost, Normal profit is as follows:

Q: The following information pertains to one item of inventory of the Simon Company: Per unit Cost $…

A: Introduction:- The following formula used for Lower of cost or market method that is express as…

Q: 0.4 Purchased materláls on account for Rs.95,000 e: Delective material warth Ii.5,000 were returned…

A: The journal entries are prepared to record the business transactions of the business on regular…

Q: Beginning inventory Merchandise Finished goods Cost of merchandise purchased Cost of goods…

A: SCHEDULE OF COST OF GOODS MANUFACTUREDSchedule Of Cost Of Goods Manufactured are those costs which…

Q: 102,000 20,000 120,000 $525,000 140,000 5,000 2,000 50,000 4,000 Cost of merchandise sold…

A: 1. Income tax expense Rate is not given therefore it cannot be determined. 2. Multi step income…

Q: X Company had $90,000 of ending finished goods inventory, beginning finished goods inventory was…

A: Cost sheet is a method of allocating total cost into different categories such as direct material…

Q: BRIAN POGI Co. manufactured the following units: Saleable 10,000 units Unsaleable Normal Loss 400…

A: Saleable units (A) = 10,000 units Normal loss (B) = 400 Abnormal loss (C) = 600 Total manufacturing…

Q: Bare Unimart Manufacturing Beginning inventory Merchandise Finished goods Cost of merchandise…

A: Cost of goods sold for trader = Beginning merchandise inventory + Cost of goods purchased - Ending…

Q: Item X Cost 200,000 Replacement cost Estimated cost to convert materials into finished goods…

A: The answer is stated below:

Q: What is the correct amount of nventory?

A: Goods in transit, shipped at FOB shipping point are to be removed from inventory because they left…

Q: Presented below is information related to Kingbird, Inc. Cost Retail Beginning inventory…

A: Working Note: Cost to retail ratio = Cost of goods available for sale at Cost / Cost of goods…

Q: mated net realizable value method to allocate the joint cost. The cost of product E sold for the…

A: As per NRV method, the net realizable value at split off point is used to allocate the joint cost.

Concept explainers

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.

Question

Corona Company incurred the following costs:

Materials P 700,000
Storage costs of finished goods 180,000
Delivery to customers 40,000
Irrevocable Purchase Taxes 60,000

What amount should the inventory be measured?
a. 880,000
b. 760,000
c. 980,000
d. 940,000

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Ibe Corporation has an EUP of 248,750 units. Beginning inventory units of 22,500, 40% incomplete; ending inventory units of 24,000 60% complete. Conversion costs of beginning inventory of P9,800; current period conversion costs of P204,125. The unit conversion cost using weighted average method is: 0.70 none of the choices 0.86 0.82
1. Gross Purchases 2. Net Purchases 3. Raw Materials put into production
BRIAN POGI Co. manufactured the following units: Saleable 10,000 units Unsaleable Normal Loss 400 units Abnormal Loss 600 units Manufacturing costs totaled P198,000. How much is the period cost?
FINISH THE FOLLOWING BLANK AREAS Units cost per unit Sales price per unit Beginning inventory 70 $ 60.00 purchase 3/27 185 $ 68.00 purchase 4/23 240 $ 78.00 total sales 377 141 Operating expenses under each method 17,000 income tax expense under each method 21% of income before taxes FIFO units $$ LIFO units $$ weighted Average units $$ Beginning inventory 70 $ 4,200.00 Beginning inventory 70 $ 4,200.00 Beginning inventory 70 $ 4,200.00 purchases 425 purchases 425 purchases 425 available 495 available 495 available 495 ending inventory ending inventory ending inventory CGS 377 CGS 377 CGS 377 Available in $$ Available in units unit price
Please answer complete and properly
None
Number of units produced and sold Sales Cost of goods sold Gross margin Selling and administrative expenses Net operating income (loss) Basic Advanced Total 20,000 10,000 $ 30,000 $ $ 3,000,000 2,000,000 5,000,000 2,300,000 1,350,000 3,650,000 700,000 650,000 1,350,000 720,000 480,000 1,200,000 $ (20,000) $170,000 $150,000 Direct laborers are paid $20 per hour. Direct materials cost $40 per unit for the Basic model and $60 per unit for the Advanced model. Koontz is considering a change from plantwide overhead allocation to a departmental approach. The overhead costs in the company's Molding Department would be allocated based on machine-hours and the overhead costs in its Assemble and Pack Department would be allocated based on direct labor-hours. To enable further analysis, the controller gathered the following information: Manufacturing overhead $ 787,500 costs Direct labor hours: Basic Advanced Machine hours: Basic Advanced Required: Molding Assemble and Pack $562,500 Total $…
19. How much is the total distribution (selling) costs? a. 48,000 b. 56,000 C. 64,000 d. 108,000 20. How much is the total administrative expenses? a. 24,000 b. 132,000 C. 226,000 d. 668,000
Hagrid Gardening Corporation manufactures gardening products. The following information relates to the current period: DM Purchased $14,900 DM Inventory, Jan 1 $12,700 DM Inventory, Dec 31 $16,100 DL $6,400 MOH $16,700 Period Costs $10,500 WIP Inventory, Jan 1 $2,500 WIP Inventory, Dec 31 $8,000 FG Inventory, Jan 1 $19,500 FG Inventory, Dec 31 $4,800 A total of 5,000 products were sold for $25 each. Based on this information, please calculate the following: Cost of Goods Sold?
5
Ibe Corporation has an EUP of 248,750 units. Beginning inventory units of 22,500, 40% incomplete; ending inventory units of 24,000 60% complete. Conversion costs of beginning inventory of P9,800; current period conversion costs of P204,125. The unit conversion cost using weighted average method is: Onone of the choices .0.82 O 0.86 0.70
I need help