During the month of June, Ace Incorporated purchased goods from two suppliers. Thesequence of events was as follows: June 3 Purchased goods for $3,400 from DiamondIncorporated with terms 2/12, n/45. June 5 Returned goods costing $1,150 to DiamondIncorporated for credit on account. June 6 Purchased goods from Club Corporation for $1,350with terms 2.5/12, n/45. June 11 Paid the balance owed to Diamond Incorporated. June 22Paid Club Corporation in full. Required: Assume that Ace uses a perpetual inventory systemand that the company had no inventory on hand at the beginning of the month. Calculate thecost of inventory as of June 30. (Do not round intermediate calculations. Round your answerto 2 decimal places.)

Inventory -These materials and goods serve the company's only purpose of being sold to customers in…

During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows: June 3 Purchased goods for $3,400 from Diamond Incorporated with terms 2/12, n/45. June 5 Returned goods costing $1,150 to Diamond Incorporated for credit on account. June 6 Purchased goods from Club Corporation for $1,3 with terms 2.5/12, n/45. June 11 Paid the balance owed to Diamond Incorporated. June 2 Paid Club Corporation in full. Required: Assume that Ace uses a perpetual inventory system and that the company had no inventory on hand at the beginning of the month. Calculate t cost of inventory as of June 30. (Do not round intermediate calculations. Round your answe

During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows: June 3 Purchased goods for $3,400 from Diamond Incorporated with terms 2/12, n/45. June 5 Returned goods costing $1,150 to Diamond Incorporated for credit on account. June 6 Purchased goods from Club Corporation for $1,3 with terms 2.5/12, n/45. June 11 Paid the balance owed to Diamond Incorporated. June 2 Paid Club Corporation in full. Required: Assume that Ace uses a perpetual inventory system and that the company had no inventory on hand at the beginning of the month. Calculate t cost of inventory as of June 30. (Do not round intermediate calculations. Round your answe

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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During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows: June 3 Purchased goods for $4,100 from Diamond Incorporated with terms 2/10, n/30. June 5 Returned goods costing $1,100 to Diamond Incorporated for credit on account. June 6 Purchased goods from Club Corporation for $1,000 with terms 2/10, n/30. June 11 Paid the balance owed to Diamond Incorporated. June 22 Paid Club Corporation in full. Required: Assume that Ace uses a perpetual inventory system and that the company had no inventory on hand at the beginning of the month. Calculate the cost of inventory as of June 30.