he following accounts and balances are taken from the books of Bosox Company which uses the periodic inventory system. Note: Enter all amounts as positive amounts a. Sales $470,000 Sales returns and allowances 15,000 Sales discounts 2,500 Purchases 255,000 Purchases returns and allowances 18,000 Purchases discounts 5,000 Transportation-In 1,500 Operating expenses 125,000 b. Beginning inventory $40,000 Ending inventory 35,000 a. Calculate the cost of good sold b. Calculate the gross profit c. Calculate the net income c.
he following accounts and balances are taken from the books of Bosox Company which uses the periodic inventory system. Note: Enter all amounts as positive amounts a. Sales $470,000 Sales returns and allowances 15,000 Sales discounts 2,500 Purchases 255,000 Purchases returns and allowances 18,000 Purchases discounts 5,000 Transportation-In 1,500 Operating expenses 125,000 b. Beginning inventory $40,000 Ending inventory 35,000 a. Calculate the cost of good sold b. Calculate the gross profit c. Calculate the net income c.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
| The following accounts and balances are taken from the books of Bosox Company which | |||||||||||||
| uses the periodic inventory system. | |||||||||||||
| Note: Enter all amounts as positive amounts | |||||||||||||
| a. | |||||||||||||
| Sales | $470,000 | ||||||||||||
| Sales returns and allowances | 15,000 | ||||||||||||
| Sales discounts | 2,500 | ||||||||||||
| Purchases | 255,000 | ||||||||||||
| Purchases returns and allowances | 18,000 | ||||||||||||
| Purchases discounts | 5,000 | ||||||||||||
| Transportation-In | 1,500 | ||||||||||||
| Operating expenses | 125,000 | ||||||||||||
| b. | |||||||||||||
| Beginning inventory | $40,000 | ||||||||||||
| Ending inventory | 35,000 | ||||||||||||
| a. Calculate the cost of good sold | |||||||||||||
| b. Calculate the gross profit | |||||||||||||
| c. Calculate the net income | |||||||||||||
| c. | |||||||||||||
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