During 2025, Skysong Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Skysong for a lump sum of $65,835 because it is discontinuing manufacturing operations and wishes to dispose of its entire stock. Three types of chairs are included in the carload. The three types and the estimated selling price for each are listed below. Type Lounge chairs Armchairs Straight chairs. No. of Chairs 440 330 770 Estimated Selling Price Each $90 80 50 During 2025, Skysong sells 220 lounge chairs, 110 armchairs, and 132 straight chairs.
During 2025, Skysong Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Skysong for a lump sum of $65,835 because it is discontinuing manufacturing operations and wishes to dispose of its entire stock. Three types of chairs are included in the carload. The three types and the estimated selling price for each are listed below. Type Lounge chairs Armchairs Straight chairs. No. of Chairs 440 330 770 Estimated Selling Price Each $90 80 50 During 2025, Skysong sells 220 lounge chairs, 110 armchairs, and 132 straight chairs.
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:During 2025, Skysong Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Skysong for a
lump sum of $65,835 because it is discontinuing manufacturing operations and wishes to dispose of its entire stock. Three types of
chairs are included in the carload. The three types and the estimated selling price for each are listed below.
Type
Lounge chairs
Armchairs
Straight chairs
No. of Chairs
(a)
440
330
770
Estimated Selling
Price Each
During 2025, Skysong sells 220 lounge chairs, 110 armchairs, and 132 straight chairs.
Gross profit realized during 2025
$90
80
50
What is the amount of gross profit realized during 2025? (Round cost per chair to 2 decimal places, e.g. 78.25 and final answer to 0.
decimal places, e.g. 5,845.)
$
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