Freeflow Inc uses Gross profit method to estimate its closing Inventory details for 2020 is given below Cost Retail Gross Sales $1,685,000.00 Freight $18,000.00 Markdown cancellation $8,000.00 Markup $71,000.00 Purchases $975,000.00 $1,834,000.00 Markup cancellation $18,000.00 purchase returns $23,000.00 $36,000.00 Sales returns $38,000.00 Op Inventory $220,000.00 $411,000.00 Markdowns $69,000.00 Freeflow has averaged 64.5% gross margin Based on this, what amount will Freeflow report as cost of goods sold Question 3 options: 605315 584685 422450 598175
Freeflow Inc uses Gross profit method to estimate its closing Inventory details for 2020 is given below Cost Retail Gross Sales $1,685,000.00 Freight $18,000.00 Markdown cancellation $8,000.00 Markup $71,000.00 Purchases $975,000.00 $1,834,000.00 Markup cancellation $18,000.00 purchase returns $23,000.00 $36,000.00 Sales returns $38,000.00 Op Inventory $220,000.00 $411,000.00 Markdowns $69,000.00 Freeflow has averaged 64.5% gross margin Based on this, what amount will Freeflow report as cost of goods sold Question 3 options: 605315 584685 422450 598175
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
3 | Freeflow Inc uses Gross profit method to estimate its closing Inventory | |||||
details for 2020 is given below | ||||||
Cost | Retail | |||||
Gross Sales | $1,685,000.00 | |||||
Freight | $18,000.00 | |||||
Markdown cancellation | $8,000.00 | |||||
Markup | $71,000.00 | |||||
Purchases | $975,000.00 | $1,834,000.00 | ||||
Markup cancellation | $18,000.00 | |||||
purchase returns | $23,000.00 | $36,000.00 | ||||
Sales returns | $38,000.00 | |||||
Op Inventory | $220,000.00 | $411,000.00 | ||||
Markdowns | $69,000.00 | |||||
Freeflow has averaged 64.5% gross margin | ||||||
Based on this, what amount will Freeflow report as cost of goods sold |
Question 3 options:
|
605315 |
|
584685 |
|
422450 |
|
598175
|
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