Answered: During the current year, merchandise is…

During the current year, merchandise is sold for $98,300 cash and $644,900 on account. The cost of merchandise sold is $520,200. What is the amount of the gross profit?

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: How is the gross profit percentagecomputed? Illustrate its calculation and interpretationassuming…

Q: During the current year, merchandise is sold for $8,780,000. The cost of the goods sold is…

A: Given: Merchandise sold =$8780000Cost of goods sold =$5531400

Q: Determining Gross Profit During the current year, merchandise is sold for $863,000. The cost of the…

A: INCOME STATEMENT Income statement is one of the important financial statements of the company.…

Q: The cost of goods sold for a company for the year was $1,900,000. Merchandise inventory at the…

A: Merchandise inventory turnover ratio is calculated by dividing the cost of goods sold by the average…

Q: he sales of Super Store for the month is P 80,756.00. Beg Ending inventory is amounting to P…

A: Formula: Cost of goods sold = Beginning inventory + Purchases - Ending inventory

Q: Need Help please provide

A: Step 1: What is Sales:Sales are the primary activity on which the company can earn a profit. There…

Q: During the current year, merchandise is sold for $95,500 cash and $1,315,000 on account. The cost of…

A: Gross margin (gross profit):Gross margin is the amount of revenue earned from goods sold over the…

Q: During the current year, Carter Company reported $500,000 in sales, and purchased merchandise that…

A: Gross profit ratio is calculated by dividing gross profit by sales revenue. Gross profit is the…

Q: Net sales are $80,000, cost of goods sold is $30,000, net income is $35,000, inventory is $15,000 at…

A: Inventory turnover ratio computes the number of days the company will take to sell the inventory in…

Q: ing the current year, erchandise is sold for $900,000. The cost of the goods sold is $522,000. What…

A: Gross profit is very important for companies because it shows profit earned by company during the…

Q: Cost of merchandise sold reported on the income statement was $179,230. The accounts payable balance…

A: The cost of goods sold by a wholesaler or retailer is referred to as the cost of merchandise sold.…

Q: What entry would you make on an income statement for NET SALES for the year ended December 31, 2011?…

A: Net sales is the amount of sales after deducting sales return and sales discount. Net sales is…

Q: For the fiscal year, sales were $25,565,000 and the merchandise sold cost of was Is $15,400,000.…

A: 1. Gross Profit: Calculating gross profit is a key financial indicator that offers information about…

Q: solve Question with answer of a and b

Q: Ahku Mab LTD has 13,500 sales revenue in 2021. The inventory information for the year is Beginning…

A: The cost of goods sold includes the total cost of goods that are sold during the period. Cost of…

Q: GREEN Enterprises reported the following information for the current year: Inventory, January 1 -…

A: solution given Inventory, January 1 - P2,300,000 Purchases - 27,105,000 Purchase returns and…

Q: Calculate net sales based on gross sales of $805,000; sales returns of $5,400; and sales discounts…

A: The net sales are the sales calculated after adjusting sales discount, sales return and allowance,…

Q: uring the current year, merchandise is sold for $970,000. The cost of the merchandise sold is…

A: The following formulas used as follows under:- Gross Profit =Total Sales - Cost of Goods Sold Gross…

Q: Financial information is presented below: Operating expenses 38,000 Sales returns and allowances…

A: What is really left over after taxation and other tax withholding have been taken out of your…

Q: During the current year, merchandise is sold for $665,000. The cost of the merchandise sold is…

A: Gross Profit=Total Sales - Cost of Goods Sold Gross profit percentage=Gross profit / Sales

Q: Rickey’s Retail has the following financial information for the most recent accounting period.…

A: INCOME STATEMENT Income Statement is one of the Important Financial Statement of the Company. Income…

Q: For the fiscal year, sales were $7310000, sales discounts were $120000, sales returns and allowances…

A: GROSS PROFIT : = SALES - SALES DISCOUNT - SALES RETURNS AND ALLOWANCES - COST OF GOODS SOLD

Q: A company reported the following: Cost of Goods Sold $202,200 General, Selling, and Administrative…

A: INCOME STATEMENTIncome Statement is one of the Important Financial Statement of the Company. Income…

Q: During the current year, merchandise is sold for $366,100 cash and $1,420,000 on account. The cost…

A: Gross margin (gross profit): Gross margin is the amount of revenue earned from goods sold over the…

Q: The cost of merchandise sold for Kohl’s Corporation for a recent year was $12,265 million. The…

A: There are various payments made in process of running business. When the merchandise is purchased,…

Q: The following accounts of Rex Company are as follows: Sales P480,000; Cost of goods sold P300,000;…

A: Net Income is the measure of profitability of the business. This is calculated by deducting all type…

Q: Cost of goods sold reported on the income statement was $153,920. The accounts payable balance…

A: payment to creditor=Purchase-increase in payable

Q: Determining Gross Profit During the current year, merchandise is sold for $655,000. The cost of the…

A: The following formulas used as follows under:- 1)Gross Profit =Total Sales - Cost of Goods Sold…

Q: Using the following information, what is the amount of gross profit? Purchases $44,000 Merchandise…

A: Cost of goods sold = Opening inventory + Purchases - Closing inventory

Q: Cost of merchandise sold reported on the income statement was $403,600. The accounts payable balance…

A: Total Purchase of inventory = Cost of merchandise sold + Increase in inventory = $403,600 + $62,700…

Q: The cost of goods sold for a company for the year was $1,900,000. Merchandise inventory at the…

A: Ratio analysis helps to analyze the financial statements of the company. Management can take…

Q: Solve this one

A: Answer to Part a.Net Sales = Sales - Sales discounts- Sales returns and allowancesNet Sales =…

Q: GREEN Enterprises reported the following information for the current year: Inventory, January 1…

A: Solution.. Beginning inventory = P2,300,000 Purchase = P7,105,000 Purchase return and allowances…

Q: PAKIALAMERA KO Company provided the following data for the current year: Inventory, January 1…

A: The cost of goods sold can be calculated by adding up net purchases and deducting ending inventory…

Q: NEED ANSWER WITH EXPLANATION

A: Approach to Solving the Question1.Calculate Gross Profit: Subtract the cost of merchandise sold from…

Q: The cost of merchandise sold by Kohl's Corporation for a recent year was $12,265 million. The…

A: We must determine the change in the inventory balance in order to determine the cash paid: = $4,038…

Q: If your cost of goods sold for the year was $825,000, with beginning inventory of $240,000 and…

A: The inventory turnover ratio is a kind of efficiency ratio that indicates the number of times…

Q: Gross Profit During the current year, merchandise is sold for $140,400 cash and $588,600 on…

A: The cash or profit that is still available after production costs are deducted from sales is known…

Question

100%

During the current year, merchandise is sold for $98,300 cash and $644,900 on account. The cost of merchandise sold is $520,200. What is the amount of the gross profit?

Expert Solution

This question has been solved!

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

This is a popular solution!

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Trending now

This is a popular solution!

Step by step

Solved in 3 steps with 2 images

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

For the fiscal year, sales were $7280000, sales discounts were $100000, sales returns and allowances were $30000, and the cost of merchandise sold was $4330000. What was the amount of gross profit
Following is an incomplete current-year income statement. Determine Net Sales, Cost of goods sold and Net Income. Additional information follows: Return on total assets is 16% (average total assets is $62,500). Inventory turnover is 5 (average inventory is $7,800). Accounts receivable turnover is 8 (average accounts receivable is $7,700). Income Statement Net Sales Cost of goods sold Selling, general, and administrative expenses 8800 Income tax expenses 3800 Net Income
The following data were provided by Mystery Incorporated for the year ended December 31: Cost of Goods Sold $ 155,000 Income Tax Expense 14,820 Merchandise Sales (gross revenue) for Cash 220,000 Merchandise Sales (gross revenue) on Credit 38,000 Office Expense 18,000 Sales Returns and Allowances 6,450 Salaries and Wages Expense 36,200 1. What was the gross profit percentage? (round your percentage to 1 decimal place)
The sales of Super Store for the month is P 80,756.00. Beginning inventory was P 24,435.00; and purchases of P 18,200.00. Ending inventory is amounting to P 12,500.50. The stores total expenses is P 18,780.00 . Find the following : a.) Cost of goods sold b) Net profit or net loss
LaRoe Lawns’ inventory increased during the year by $5.9 million. Its accounts payable increased by $4.8 million during the same period.Required: What is the amount of cash LaRoe paid to suppliers of merchandise during the reporting period if its cost of goods sold was $56 million? Prepare a summary entry that represents the net effect of merchandise purchases during the reporting period. Record the net effect of merchandise purchases.
During the current year, merchandise is sold for $925000. The Gross Profit is $411000. What is the amount of the Cost of Merchandise Sold? Add your answer
Gross Profit During the current year, merchandise is sold for $ 137,900 cash and $ 435,200 on account. The cost of the goods sold is $ 378,200. What is the amount of the gross profit
Use the following information to complete the calculations below. Cost of goods sold $195,640 Inventory: Beginning of year 20,500 End of year 18,628 a. Compute inventory turnover. b. Compute average daily cost of goods sold using a 365 day year. c. Compute number of days' sales in inventory. Round your answer to one decimal place. days
Using the information below, calculate Gross Profit: Sales Revenue $5,000 Sales Discounts $664 Sales Returns and Allowances $357 Cost of Goods Sold $1,306 Inventory $1,451
Interest expense = 36,000. Sales revenue = 2,195,000. Interest and dividends = 9,000. Selling expenses = 253,000. Administrative expenses = 104,000. Sales returns and allowances = 98,000. Income tax expense = 168,200. Cost of goods sold = 1,281,000. How much is the gross profit?
Following is an incomplete current-year income statement. Determine Net Sales, Cost of goods sold and Net Income. Additional information follows: Return on total assets is 16% (average total assets is $80,000). Inventory turnover is 4 (average inventory is $5,000). Accounts receivable turnover is 7 (average accounts receivable is $6,000). Income Statement Net Sales Cost of goods sold Selling, general, and administrative expenses 7,100 Income tax expense 2,100 Net Income