Nicole's Getaway Spa (NGS) has been so successful that Nicole has decided to expand her spa by selling merchandise. She sells things such as nail polish, at-home spa kits, cosmetics, and aromatherapy items. Nicole uses a perpetual inventory system and is starting to realize all of the work that is created when inventory is involved in a business. The follovwing transactions were selected from among those completed by NGS in August. Aug. 2 Sold a bundle of spa services with a merchandise basket. When sold separately, the spa service part of the bundle sells for $40e and the merchandise basket normally sells for $100. Together, the bundle was sold to Val Amy for cash at a selling price of $450 (total). Val booked a spa treatment for August 10, and she took the basket of goods with her. The goods had cost NGS $8e. Aug. 3 Sold 5 identical items of merchandise to Cosmetics R Us on account at a selling price of $500 (total); terms n/30. The goods cost NGS $400. Aug. 6 Cosmetics R Us returned one of the five items purchased on August 3. The item could still be sold by NGS in the future and credit was given to the customer. Aug. 10 Val Amy used one of the three spa treatments she had purchased as part of the bundle sold to her on August 2. Aug. 20 Sold two at-home spa kits to Meghan witzel for $300 cash. The goods cost NGS $96. Aug. 22 Cosmetics R Us paid its remaining account balance in full. 2-a. Calculate the Sales Revenue and Cost of Goods Sold for the transactions listed above (but exclude Service Revenue for spa services). Sales Revenue Cost of Goods Sold 2-b. What is Nicole's Getaway Spa's gross profit percentage (excluding Service Revenue)? (Round your answer to decimal place.) Gross Profit Percentage
Nicole's Getaway Spa (NGS) has been so successful that Nicole has decided to expand her spa by selling merchandise. She sells things such as nail polish, at-home spa kits, cosmetics, and aromatherapy items. Nicole uses a perpetual inventory system and is starting to realize all of the work that is created when inventory is involved in a business. The follovwing transactions were selected from among those completed by NGS in August. Aug. 2 Sold a bundle of spa services with a merchandise basket. When sold separately, the spa service part of the bundle sells for $40e and the merchandise basket normally sells for $100. Together, the bundle was sold to Val Amy for cash at a selling price of $450 (total). Val booked a spa treatment for August 10, and she took the basket of goods with her. The goods had cost NGS $8e. Aug. 3 Sold 5 identical items of merchandise to Cosmetics R Us on account at a selling price of $500 (total); terms n/30. The goods cost NGS $400. Aug. 6 Cosmetics R Us returned one of the five items purchased on August 3. The item could still be sold by NGS in the future and credit was given to the customer. Aug. 10 Val Amy used one of the three spa treatments she had purchased as part of the bundle sold to her on August 2. Aug. 20 Sold two at-home spa kits to Meghan witzel for $300 cash. The goods cost NGS $96. Aug. 22 Cosmetics R Us paid its remaining account balance in full. 2-a. Calculate the Sales Revenue and Cost of Goods Sold for the transactions listed above (but exclude Service Revenue for spa services). Sales Revenue Cost of Goods Sold 2-b. What is Nicole's Getaway Spa's gross profit percentage (excluding Service Revenue)? (Round your answer to decimal place.) Gross Profit Percentage
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![Requlred Informatlon
[The following information applies to the questions displayed below.]
Nicole's Getaway Spa (NGS) has been so successful that Nicole has decided to expand her spa by
selling merchandise. She sells things such as nail polish, at-home spa kits, cosmetics, and
aromatherapy items. Nicole uses a perpetual inventory system and is starting to realize all of the work
that is created when inventory is involved in a business. The following transactions were selected
from among those completed by NGS in August.
Aug. 2 Sold a bundle of spa services with a merchandise basket. When sold separately, the spa
service part of the bundle sells for $48 and the merchandise basket normally sells for
$109. Together, the bundle was sold to Val Amy for cash at a selling price of $450 (total).
Val booked a spa treatment for August 18, and she took the basket of goods with her. The
goods had cost NGS $80.
Aug. 3 Sold 5 identical items of merchandise to Cosmetics R Us on account at a selling price of
$509 (total); terms n/30. The goods cost NGS $480.
Aug. 6 Cosmetics R Us returned one of the five items purchased on August 3. The item could still be
sold by NGS in the future and credit was given to the customer.
Aug. 10 Val Amy used one of the three spa treatments she had purchased as part of the bundle sold to
her on August 2.
Aug. 20 Sold two at-home spa kits to Meghan witzel for $300 cash. The goods cost NGS $96.
Aug.22 Cosmetics R Us paid its remaining account balance in full.
2-a. Calculate the Sales Revenue and Cost of Goods Sold for the transactions listed above (but exclude Service
Revenue for spa services).
Sales Revenue
Cost of Goods Sold
2-b. What is Nicole's Getaway Spa's gross profit percentage (excluding Service Revenue)? (Round your answer to 1
decimal place.)
Gross Profit Percentage](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F7100c50b-ddff-47ff-95bb-897dc45c5954%2Fbe076e29-f990-4f90-83b3-2b1b333c8941%2Frnfszujh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Requlred Informatlon
[The following information applies to the questions displayed below.]
Nicole's Getaway Spa (NGS) has been so successful that Nicole has decided to expand her spa by
selling merchandise. She sells things such as nail polish, at-home spa kits, cosmetics, and
aromatherapy items. Nicole uses a perpetual inventory system and is starting to realize all of the work
that is created when inventory is involved in a business. The following transactions were selected
from among those completed by NGS in August.
Aug. 2 Sold a bundle of spa services with a merchandise basket. When sold separately, the spa
service part of the bundle sells for $48 and the merchandise basket normally sells for
$109. Together, the bundle was sold to Val Amy for cash at a selling price of $450 (total).
Val booked a spa treatment for August 18, and she took the basket of goods with her. The
goods had cost NGS $80.
Aug. 3 Sold 5 identical items of merchandise to Cosmetics R Us on account at a selling price of
$509 (total); terms n/30. The goods cost NGS $480.
Aug. 6 Cosmetics R Us returned one of the five items purchased on August 3. The item could still be
sold by NGS in the future and credit was given to the customer.
Aug. 10 Val Amy used one of the three spa treatments she had purchased as part of the bundle sold to
her on August 2.
Aug. 20 Sold two at-home spa kits to Meghan witzel for $300 cash. The goods cost NGS $96.
Aug.22 Cosmetics R Us paid its remaining account balance in full.
2-a. Calculate the Sales Revenue and Cost of Goods Sold for the transactions listed above (but exclude Service
Revenue for spa services).
Sales Revenue
Cost of Goods Sold
2-b. What is Nicole's Getaway Spa's gross profit percentage (excluding Service Revenue)? (Round your answer to 1
decimal place.)
Gross Profit Percentage
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