In December 2013, JB Masterpiece Merchandise Inc. had a significant portion of its inventory stolen.The company determined the cost of inventory remaining to be $32,400. The following informationwas taken from the records of the company:Purchases...Purchase returns and allowances.Sales..****Sales returns and allowances.Salaries....Rent.InsuranceUtilities.......Jan. 1, 2013 to Date of Theft$141,670. 7,25005: (15 Mark)275,6003,400. 10,100. 5,340.. 1,030.. 1,1154,9251,890.. 74,620Advertising.Depreciation expenseBeginning inventoryRequired: Estimate the cost of the stolen inventory.2012$156,4306.580283,3002,90012,9007,1201.3401,4353,7412,10669,780

The cost of goods sold is a critical component in determining a company's gross profit. Gross profit…

In December 2013, JB Masterpiece Merchandise Inc. had a significant portion of its inventory stolen. The company determined the cost of inventory remaining to be $32,400. The following information was taken from the records of the company: Purchases.. Purchase returns and allowances. Sales.. Sales returns and allowances. Salaries. Rent. Jan. 1, 2013 to Date of Theft . $141,670 . 7,250 .275,600 ...3,400 . 10,100 5,340 Insurance. Utilities.. Advertising.. Depreciation expense Beginning inventory. Required: Estimate the cost of the stolen inventory. 1,030 1,115 4,925 1,890 .. 74,620 2012 $156,430 6.580 283,300 2,900 12,900 7,120 1.340 1,435 3,741 2,106 69,780

In December 2013, JB Masterpiece Merchandise Inc. had a significant portion of its inventory stolen. The company determined the cost of inventory remaining to be $32,400. The following information was taken from the records of the company: Purchases.. Purchase returns and allowances. Sales.. Sales returns and allowances. Salaries. Rent. Jan. 1, 2013 to Date of Theft . $141,670 . 7,250 .275,600 ...3,400 . 10,100 5,340 Insurance. Utilities.. Advertising.. Depreciation expense Beginning inventory. Required: Estimate the cost of the stolen inventory. 1,030 1,115 4,925 1,890 .. 74,620 2012 $156,430 6.580 283,300 2,900 12,900 7,120 1.340 1,435 3,741 2,106 69,780

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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6. YNA Inc. operates a jewelry store. On the morning of February 14, an inventory was conducted after discovering that one of the trusted employees committed theft and ran away with pieces of jewelry. The inventory disclosed goods on hand costing P5,500,000. Additional information from the books includes the following: Inventory on hand, February 1 – P6,750,000; Purchases made from February 1 to 13 – P7,000,000 and Sales – P10,500,000. Records show that sales are made at 40% above cost. What is the amount of loss from theft?
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