12:35 O vaiJ •Goods costing $20,000 were sold for$25,000 on account. The entry to recordthis transaction would include: *A debit to Cost of Goods Sold $25,000 anda credit to Finished Goods Inventory$25,000A debit to Cost of Goods Sold $20,000 andO a credit to Finished Goods Inventory$20,000A debit to Cost of Goods Sold $25,000 anda credit to Sales Revenue $25,000None of the aboveFor a car manufacturing company, thesalary of the plant supervisor is bestdescribed as:Indirect Manufacturing OverheadDirect labor costsPeriod costNone of the aboveWhat does manufacturing overhead costconsist of? *All manufacturing costsO OO O O C

Answer 1: According to perpetual inventory system when finished goods inventory is sold, cost of…

Answered: Goods costing $20,000 were sold for…

Business

Accounting

Goods costing $20,000 were sold for $25,000 on account. The entry to record this transaction would include: *

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: The company made a sale of goods for RO. 15000 (cost RO 10000) and received 30% in cash and balance…

A: Accounting equation: The accounting equation is an accounting tool expressed in the form of the…

Q: During the current year, merchandise is sold for $53,640 cash and for $82,660 on account. The cost…

A: Gross profit represent the excess amount of revenue over the cost of merchandise sold.

Q: Abbey Co. sold merchandise to Gomez Co. on account, $10,400, terms 2/15, net 30. The cost of the…

A: Gross profit: It implies to the profit that is earned by the business after subtracting it's direct…

Q: ABC Company sold goods worth $58000 On credit; Cost of merchandise sold is $ 22000; Pass all the…

A: Introduction: Journals: Recording of a business transactions in a chronological order. First step in…

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: Coronado Company has the following account balances: Purchases Sales Returns and Allowances Purchase…

A: Cost sheet is a method of allocating total costs into different categories. It helps to identify the…

Q: Help

A: You need to calculate the gross profit from the sale of merchandise during the current year.…

Q: During the current year, merchandise is sold for $300,000 cash and for $625,000 on account. The cost…

A: The gross profit is calculated by deducting the cost of goods sold from the sales revenues (Cash +…

Q: Merchandise with a sales price of $1,100 is sold on account with terms 2/10, n/30. The journal entry…

A: 2/10, n/30 indicates that a discount of 2% will be given if payment is received within 10 days and…

Q: A sales invoice included the following information: merchandise price, $12,400; terms 1/10, n/eom,…

A: Concept of terms 1/10, n/eom: 1/10 means 1% discount is valid of the payment has been made within…

Q: ournalize the entries to record the following selected transactions: (a) Sold $ 2,000 of…

A: Definition: Journal: Journal is the method of recording monetary business transactions in…

Q: During the current year, merchandise is sold for $145,500 cash and $609,300 on account. The cost of…

A: A. Gross profit = Sales - Cost of goods sold = $6,400,000 - $5,376,000 = $1,024,000 B. Gross profit…

Q: 10 Sold merchandise for cash, $54,000. The cost of the merchandise sold was $32,000.

A: Introduction: Journals: All the business transactions are to be recorded in Journals. Journals are…

Q: Goods costing $21,000 were sold for $52,000 on account. The entry to record this transaction would…

A: Goods costing $21,000 were sold for $52,000 on account

Q: None

A: Disclosed in notes to the financial statements of the hospital:Explanation: This option suggests…

Q: 8) Rash sold merchandise on account worth $ 50000 and the cost of merchandise sold was $ 22000.…

A: Introduction: Journals: All the business transactions are to be recorded in Journal books. Another…

Q: a. b. Merchandise $10,700 $13,300 a. $ b. $ Freight Paid by Seller $376 $58 Freight Terms FOB…

A: Lets understand the basics.Under FOB destination, freight is the seller's expense and under the FOB…

Q: MAKE THE NECCESSARY JOURNAL ENTRIES FOR THE FOLLOWING TRANSACTIONS... 1)Merchandise acquired cost is…

A: Journal: It is the first step of recording financial transactions. It is used to prepare the…

Q: FN Trading recorded the following events involving a recent purchase of merchandise: Received goods…

A: SOLUTION- NET COST OF PURCHASE = (GROSS PURCHASE - PURCHASE RETURN) * (1-CASH DISCOUNT RATE) +…

Q: During the current year, merchandise is sold for $175,700 cash and $654,900 on account. The cost of…

A: Income statement is one of the financial statements that shows profitability, total revenue and…

Q: The entry to record a sale on account of merchandise of $300 subject to sales tax of 6% includes a…

A: Journal Entry :— It is an act of recording transactions in books of account when transaction…

Q: ournalize the entries to record the following selected transactions. Refer to the Chart of Accounts…

A: Sales tax on sale = $64,300*5% Sales tax on sale = $3,215

Q: Cherry Co. Purchased merchandise for cash with an invoice price of 13000. How much is the vatable…

A: Value added tax: It implies to the tax that is charged on the value addition by the producers at…

Q: Find the average payment period of accounts payable is $20,000, costs of goods sold is $200,000, and…

A: A solvency ratio that provides information regarding the capability of a firm to pay off its…

Q: An electronics retailler purchases $25,000 of computers on account for resale. The retailer returns…

A: There is two method of inventory: 1. Periodic inventory method: It is a inventory valuation method…

Q: Consider the following facts: a. Beginning and ending Accounts Receivable are $25,000 and $27,000,…

A: The cash collection from customers includes the cash collected from the customers during the period.…

Q: Complete the following by calculating the cash discount and net amount paid: Gross amount of…

A: Discounting terms are 2/10, n/60. If payment is done within 10 days from 4/8, a discount of 2% is…

Q: f. The adjustment for customer returns and allowances is $60,000 for sales and $35,000 for cost of…

A: Inventory: Inventory refers to the stock of goods purchased, utilized and maintained by the company…

Q: During the current year, merchandise is sold for $56,600 cash and for $87,400 on account. The cost…

A: Gross profit: Difference between the sales and the cost of goods sold is called gross profit. Gross…

Q: During the current year, merchandise is sold for $54,400 cash and for $81,400 on account. The cost…

A: The difference between the net sales and cost of goods is called Gross profit. Total sales are…

Q: What is the amount of the GP?

A: Explanation of Gross Profit: Gross profit is the amount of money a company makes from its sales…

Q: Determine the amount to be paid in full settlement of each of the following invoices, assuming that…

A: FOB shipping point explains that the ownership of the inventory is transferred to the purchaser once…

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: Goods costing $20,000 are purchased on account on April 1, 2021, with credit terms 2/10 n/30. On…

A: Given that, $20,000 are purchased on account on April 1, 2021 credit terms 2/10 n/30 On April 3, a…

Q: During the current year, merchandise is sold for $56,800 cash and for $85,600 on account. The cost…

A: Gross profit is the difference between sales revenue and cost of goods sold. The cost of goods sold…

Q: Avila Co. sold $10,000 of merchandise to Beasley Corp. on account with terms of 1/10, n/30. The…

A: Note: 1/10, n/30: Here, 1 represents the discount rate if payment is made within ten days. And if…

Q: On January 13, 20xx, Karl Co. sold on account goods with selling price of P300,000 with terms of…

A: The term FOB shipping point refers to the free on board, which means that the sale completes when…

Q: Sales-Related Transactions Merchandise is sold on account to a customer for $16,500, terms FOB…

Q: Goods costing $21,000 were sold for $52,000 on account. The entry to record this transaction would…

A: Sales are described as the term which is used when the business provides the goods or services to…

Question

12:35 O vai
J •
Goods costing $20,000 were sold for
$25,000 on account. The entry to record
this transaction would include: *
A debit to Cost of Goods Sold $25,000 and
a credit to Finished Goods Inventory
$25,000
A debit to Cost of Goods Sold $20,000 and
O a credit to Finished Goods Inventory
$20,000
A debit to Cost of Goods Sold $25,000 and
a credit to Sales Revenue $25,000
None of the above
For a car manufacturing company, the
salary of the plant supervisor is best
described as:
Indirect Manufacturing Overhead
Direct labor costs
Period cost
None of the above
What does manufacturing overhead cost
consist of? *
All manufacturing costs
O O
O O O C

Expert Solution

This question has been solved!

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

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Step by step

Solved in 3 steps

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

During the current year, merchandise is sold for $21,100 cash and $341,700 on account. The cost of the merchandise sold is $217,200. What is the amount of the gross profit?
During the current year, merchandise is sold for $104,100 cash and $545,000 on account. The cost of merchandise sold is $447,900. What is the amount of the gross profit?
The acquisition of goods with an invoice price of $10,000 is subject to the following terms: 2/10, n/30, FOB destination. The vendor covered all transportation expenses in the amount of $300. What is the merchandise's net cost?
TB 06-57 An electronics retailer purchases $25,000 of.. An electronics retailer purchases $25,000 of computers on account for resale. The retailer returns $5,000 of computers to the supplier and receives a credit on their account. Under a perpetual inventory system the journal entry to record the returned goods will include:
A sales invoice included the following information: merchandise price, $9,000; terms 1/10, n/eom; FOB shipping point with prepaid freight of $496 added to the invoice. Assuming that a credit for merchandise returned of $1,800 is granted prior to payment and that the invoice is paid within the discount period, what is the amount of cash that should be received by the seller?
Goods costing $21,000 were sold for $52,000 on account. The entry to record this transaction would include:* O A credit to Accounts Receivable $52,0o00 and a debit to Sales Revenue $52,000 A debit to Cost of Goods Sold $21,000 and a credit to Finished Goods Inventory $21,000 A debit to Cost of Goods Sold $52,000 and a credit to Finished Goods Inventory $52,000 None of the above Time tickets indicated 8.000labochours in thelnmduction of lob115.out.of
An invoice received included the following information: merchandise price, $3,200; terms 1/10, n/eom; FOB shipping point with prepaid freight of $598. Assuming that a credit for merchandise returned of $600 is granted prior to payment and that the invoice is paid within the discount period, what amount of cash should be paid by the buyer? a. $600 b. $3,760 c. $3,200 d. $3,172
During the current year, merchandise is sold for $141,000 cash and $615,200 on account. The cost of the goods sold is $468,800. What is the amount of the gross profit?
Question: During the current year, merchandise is sold for $194,200 cash and $454,200 on account. The cost of the merchandise sold is $505,800. What is the amount of the gross profit?
During the current year, merchandise is sold for $53,200 cash and for $81,600 on account. The cost of the goods sold is $87,620. What is the amount of the gross profit?
The company purchases raw materials for $20,000 on account, the entry is: A debit to Raw Material Inventory $20,000 and a credit to Cash $20,000 A debit to Direct Material $20,000 and a credit to Accounts Payable $20,000 A debit to Raw Materials Inventory O $20,000 and a credit to Accounts Payable $20,000 None of the above
APPROPRIATE LEDGER ACCOUNT FOR RETURNED GOODS WORTH RM150 TO SHAH