This is about accounting in merchandising business. Thanks!1. How much is the cost of goods sold?2. How much is the gross profit?3. How much is the net income? Emily in Pares, a French-Filipino fusion restaurantowned by Émilie Joy Marie Batumbakal, has thefollowing information at yearend:Merchandise inventory, beginningPurchasesPurchase returns and allowancesPurchase discountsFreight-inMerchandise inventory, endingP25,000150,0008,00010,00012,00030,000Sales550,000Sales returns and allowances5,000Sales discount20,000Salaries expenseAdvertising expenseDepreciation expenseRental expenseSupplies expense15,00023,0006,00018,00014,000

Gross profit = Net sales - Cost of goods sold where, Net Sales = Sales - Sales return and allowances…

Emily in Pares, a French-Filipino fusion restaurant owned by Émilie Joy Marie Batumbakal, has the following information at yearend: Merchandise inventory, beginning P25,000 150,000 8,000 Purchases Purchase returns and allowances Purchase discounts Freight-in Merchandise inventory, ending Sales Sales returns and allowances Sales discount Salaries expense Advertising expense Depreciation expense Rental expense Supplies expense 10,000 12,000 30,000 550,000 5,000 20,000 15,000 23,000 6,000 18,000 14,000

Emily in Pares, a French-Filipino fusion restaurant owned by Émilie Joy Marie Batumbakal, has the following information at yearend: Merchandise inventory, beginning P25,000 150,000 8,000 Purchases Purchase returns and allowances Purchase discounts Freight-in Merchandise inventory, ending Sales Sales returns and allowances Sales discount Salaries expense Advertising expense Depreciation expense Rental expense Supplies expense 10,000 12,000 30,000 550,000 5,000 20,000 15,000 23,000 6,000 18,000 14,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

1) What type of account is Cost of Goods Sold? What statment does it appear on? Is it a Real or Nominal account? Is it temporary? Is it a CR or DR balance.2) I have read on the internet that it is an expense, however looking at my workbook showing the Income Statement it is lilsted under Sales & Revenues and added together to obtain Gross Profit.
which comes first when preparing a income statement? please put in order salaries expense cost of goods sold net income total expenses gross profit miscellsneous expense sales
in a merchandising business gross profit is equal to the sales revenue minus (a) the sum of cost of goods sold and sales commissions (b) cost of goods sold (c) the sum of cost of goods sold and operating expenses (d) the sum of cost of goods sold, operating expenses and prepaid expenses
Gross profit is: The amount left over after cost of goods sold is subtracted from net sales. A.Net sales less operating expenses. B.Sales less sales discount. C.less sales discounts. D.Net sales less selling expenses
Lopez Corporation incurred the following costs while manufacturing its product. Materials used in product Depreciation on plant Property taxes on store Labor costs of assembly-line workers Factory supplies used $121,000 61,000 7,600 111,000 24,000 Advertising expense Property taxes on plant Delivery expense Sales commissions Salaries paid to sales clerks $46,000 15,000 22,000 36,000 51,000 Work in process inventory was $13,000 at January 1 and $16,600 at December 31. Finished goods inventory was $61,000 at January 1 and $45,700 at December 31.
Identify each of the following items relating to sections of an income statement as Revenue from Sales, Cost of Goods Sold, Selling Expenses, General Expenses, Other Income , or Other Expenses. Utilities Expense Advertising Expense Purchases Discounts Sales Returns and Allowances Interest Income Freight In Depreciation Expense, Equipment Interest Expense Rent Expense Sales Check My Work
Which of the following statement is False for Multi-step income statement of a merchandise business? a. It helps in analyzing how well the company is performing b. It divides the expenses into Selling, General and administration expenses c. Users can see how much expense is incurred in selling the product and how much is in administering business d. It divides operating expense into Direct and Indirect expenses.
Hh1. calculate net sales, cost of goods sold and gross profit from sales
Please create an example of an Income Statement for a merchandising business.
Which of the following expressions is incorrect? Gross profit - operating expenses = net income Net income + operating expenses = gross profit ● Sales revenue - cost of goods sold - operating expenses = net income ● Operating expenses - cost of goods sold = gross profit
3. As product costs expire(expensed), they become part of a. selling expenses. b. inventory. C. cost of goods sold. d. sales revenue.