On 1 September 20X6, a business had inventory of $380,000. During the month, sales totalled $650,000 and purchases $480,000. On 30 September 20X6 a fire destroyed some of the inventory. The undamaged goods in inventory were valued at $220,000. The business operates with a standard gross profit margin of 30%. Based on this information, what is the cost of the inventory destroyed in the fire?

Q: Butterfly Company began October with inventory of $192.000. The business made net purchases of…

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

Q: Ivanhoe requires an estimate of the cost of goods lost by fire on March 9. Merchandise on hand on…

A: "Goods destroyed by fire" refers to products, inventory, or other tangible assets that have been…

Q: Spider's Auto Parts Store ended its fiscal year last month with a costof sales of $3,600,000 and an…

A: A ratio that provides information regarding the number of times a company sold or replaced its…

Q: How much is the estimated inventory fire loss?

A: In order to find out estimated inventory fire loss, we need to find out the cost of inventory lying…

Q: No single system can adequately answer the demands made by diverse functions of cost systems. While…

A: Describe the costs and benefits of having a single measurement system: Costs: Cost system is a…

Q: On April 31 2017 KIFOs store room was destroyed by fire. KIFO requires an estimate of the cost of…

A: Sales given is 1,080,000, using sales calculate the Cost of goods sold. Formula for cost of goods…

Q: Compute the amount of the loss as a result of the fire, assuming that the corporation had no…

A: The inventory that is sold or distributed and that has been purchased as finished goods or requires…

Q: Over the past 3 years, the gross profit rate for Jini Company was 30%. Last week a fire destroyed…

A: Inventory destroyed = Beginning inventory + Net purchases - Cost of goods sold Cost of goods sold =…

Q: 4.The following data were available for ABC Stores at Nov. 6, 20X1: Purchases (Jan 1- Nov 5)…

A: 30% of the inventory was lost in the fire Therefore inventory Lost in fire = Closing stock on Nov…

Q: On March 1, AYE Merchandising had an inventory of P560,000 in its retail store. Purchases made in…

A: The merchandise loss can be incurred due to fire or theft, etc. This loss can be estimated with the…

Q: Com plc bought 500 items of inventory at the price of $20 per item on 1 January 20X2, and another…

A: The objective of the question is to calculate the profit under replacement cost accounting. The…

Q: A fire completely destroyed all the inventory of Glisan Lumber Yard on August 5, 20--. Fortunately,…

A: The gross profit is calculated as the difference between sales and cost of goods sold. The estimated…

Q: corporation's books disclosed the following. Beginning inventory $ 183,500 Sales revenue $683,600…

A: solution : net purchase     =358400 – 30000                              =328400 Net sales…

Q: How much is the loss on fire at Nov 6, 20X1?   a. 3,900 b. 9,150 c. 13,000 d. 30,500

A: Loss on fire :- Inventory on 6th Nov 2021 * 30% Closing inventory on 6th Nov 2021 :- (opening…

Q: Howard's Supply Co. suffered a fire loss on April 20, 2021. The company's last physical inventory…

A: Inventory is considered as current assets of the company. It is considered as most valuable asset as…

Q: Shipments received from home office are billed at 120% of cost.  During the year, the branch…

A: Branch reported a loss based on the cost of billed price it acquired the goods on. True branch…

Q: A fire on 28th Feb destroyed some of a company’s inventory and its  inventory records. The following…

A: Inventory is the value of goods manufactured, purchased or traded by the company.

Q: On August 31, a hurricane destroyed a retail location of Vinny's Clothier including the entire…

A: Effective inventory management is important to the success of any business that sells physical…

Q: Marigold Inc.’s April 30 inventory was destroyed by the explosion of an underground oil tank.…

A: Gross Profit is profit earned on selling the goods, which is calculated by deducting Cost of goods…

Q: Sunland Legler requires an estimate of the cost of goods lost by fire on March 9. Merchandise on…

A: Solution: Introduction: Inventory means goods are available for sale and raw materials used in the…

Q: Sheffield Inc.’s April 30 inventory was destroyed by the explosion of an underground oil tank.…

A: working note 1. Gross profit  margin  formula =Gross profit/Net sales * 100 Gross profit will be…

Q: On September 22, 2016, a flood destroyed the entire merchandise inventory on hand in a warehouse…

A: Gross profit method:

Q: Cranbrook Used Books experienced the following events during the current year: a. Incurred $12,000…

A: Cost of goods sold means the cost of goods which has been actually sold out during the year. When we…

Q: Domestic

A: let me re-work this step-by-step to find the correct cost of goods destroyed. Given information:-…

Q: A flood on 30th Nov destroyed some of a company’s inventory and its inventory records. The following…

A: Lets understand the basics. When due to any reason inventory gets destroyed then it needs to record…

Q: mation is available:   Sales, January 1 through July 8 $ 700,000 Inventory, January 1 130,000…

A: The ending inventory is calculated as difference between cost of goods available for sale and cost…

Q: LAVARN Company sells milled rice in Isabela Province. On September 15, a flood destroyed the…

A: Cost of goods sold = Sales - Gross profit where, Gross profit = Sales x Gross profit ratio

Q: A fire destroyed all ABC's merchandise inventory on October 1. On January 1 the balance in inventory…

A: Gross profit margin = Sales * 32/132Estimated cost of goods sold = Sales * 100/132Estimated…

Q: Friedman Co. is considering adding a new product. Based on preliminary market research, the company…

A: Target cost can be calculated by deducting the profit margin from the expected sales revenue.

Q: On September 30, 2020, a fire at Cherimoya Company's warehouse caused severe damage to its entire…

A: Under FOB destination, titles of goods are transferred to the buyer only when goods are delivered to…

Q: A fire wiped out Parvati Paper Company's Inventory. The insurance company will accept an estimate…

A: Ending inventory means the number of units left to be sold at the end of specified period.Ending…

Q: On March 1, AYE Merchandising had an inventory of P560,000 in its retail store. Purchases made in…

A: Loss by Fire - Loss by fire or any other natural calamities is an extraordinary loss for the…

Q: Shipments received from home office are billed at 120% of cost.  During the year, the branch…

A: The reported loss of P10,000 by branch is based on the billed price. True income is calculated by…

Q: Suppose Alpine Sportswear suffered a fire loss and needs to estimate the cost of the goods…

A: Gross Margin = (Total Revenue – Cost of Goods Sold)/Total Revenue

Q: A fire completely destroyed all the inventory of Glisan Lumber Yard on August 5, 20- -. Fortunately,…

A: Gross profit = sales * gross profit percentage

Q: On 1st Nov 2020, a business had inventory of $380,000. During the month,  sales totalled $650,000…

A: Data given: Opening inventory = $380,000 Purchase during the month= $480,000 Sales during the month…

Q: The financial records of Dream Inc. were destroyed by fire at the end of 2020. Selected information…

A:

Q: A company has inventory of $550,000 in a warehouse that's is completely destroyed by fire. There is…

A: An inventory stored in a warehouse carries may types of risk which also involves damaged caused by…

Q: Cullumber Legler requires an estimate of the cost of goods lost by fire on March 9. Merchandise on…

A:

Q: Cullumber Legler requires an estimate of the cost of goods lost by fire on March 9. Merchandise on…

A: 1. Cost of Goods Destroyed - Cost of Goods Destroyed by fire is the goods destroyed and reduced from…

Q: Sheridan Legler requires an estimate of the cost of goods lost by fire on March 9. Merchandise on…

A: Cost of goods sold:Cost of goods sold (COGS) refers to the direct costs of producing the goods sold…

Q: Beltrack Co. has a normal gross profit of 45%.  On the night of October 5, 2020., welders remodeling…

A: A schedule for the cost of goods is prepared to determine the cost of goods available for sale, the…

Property Insurance

Property insurance protects property from unforeseeable loss or damage and covers property owners' liability. Property insurance provides financial compensation to the property owner or renter in the event of damage or theft, as well as to someone other than the owner or renter if that person is injured on the property. Property insurance covers all risks of damage caused by theft, fire, flood, cyclones, lighting, and natural calamities, among other things. The primary goal of property insurance is to require the property owner to cover the loss. A monthly premium is paid to the insurance company, and in exchange, the insurance company pays for damage based on the agreement stated in the policy. Property insurance protects assets such as a vehicle, auto, car, rental home, house, and valuable property.