On March 31, 2021, the warehouse of Mine Company was destroyed by fire. The company's markup on cost is 40%. The following information was obtained from the available records: Inventory, 12/31/2020 - P600,000 Sales for the 1st quarter - P2,240,000 Purchases for the 1st quarter - P1,750,000 What is the cost of inventory immediately before the fire?

Q: On 31 May 2022, Mars's closing inventory count was valued at a cost of $750,000. This included some…

A: We know that general provision of valuation of inventory is "Inventory is valued at Cost of Net…

Q: Year end inventory is valued at £215,000. However, there are several items included within year end…

A: Inventory:  It includes all the finished goods available for sale to the ultimate customers and raw…

Q: 9 Castle TV, Incorporated purchased 1,600 monitors on January 5 at a per-unit cost of $140, and…

A: The objective of the question is to determine the amount by which Castle TV should write down the…

Q: Sheffield, Inc. has 8 computers which have been part of the inventory for over two years. Each…

A: Cost of computer      =    $550 Selling price             =   $940 Replacement cost =     $350…

Q: On November 21, 2024, a fire at Hodge Company's warehouse caused severe damage to its entire…

A: Cost of goods sold is the difference between cost of goods available for sale and the ending balance…

Q: Cast Iron Grills, Inc., manufactures premium gas barbecue grills. The company reports inventory and…

A: Under FIFO Inventory Cost Method, Units which comes in first will be sold first and the inventory…

Q: Muscat Company has OMR 20,000 of ending finished goods inventory as of December 31, 2019. If…

A: Cost of goods sold means the cost incurred on the manufacturing or purchase of goods which has been…

Q: On February 3, the company purchased materials amounting to P950,000 on account. Transportation…

A: Perpetual Inventory System: A perpetual inventory system is a computer software that makes ongoing…

Q: On June 19, 20X0, a fire destroyed the entire uninsured merchandise inventory of the ABC…

A: Cost of goods sold means the cost incurred on the goods which has been sold including all direct…

Q: 9. On October 31, 2020, ABC Company reported that a flood caused severe damage to the entire…

A: Gross profit means the difference between the sale revenue and cost of production. Sale means the…

Q: Required: 1. & 2. Compute the gross profit (sales minus cost of goods sold) and the gross profit…

A: Under FIFO Inventory Cost Method, Units which comes in first will be sold first and the inventory…

Q: Get the Answer

A: We have given,  Selling price = $508,000 Cost of disposal = $20,000 The replacement cost cannot be…

Q: I need answer this question

A: Step 1: Introduction to the InventoryInventory refers to the goods which a company holds for…

Q: On March 17, 2021, a flood destroyed the entire inventory of Beatty Co. The following information is…

A:

Q: Cast Iron Grills, Incorporated, manufactures premium gas barbecue grills. The company reports…

A: Answer:- Under FIFO Inventory Cost Method, units which come in first will be sold first and the…

Q: Cost of goods manufactured equals $95000 for 2019. Finished goods inventory is $3000 at the…

A: Cost sheet is a method of allocating total cost into different categories such as direct material…

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

A: 1. Income statement:   It is a financial statement that calculates the net income generated by the…

Q: Diamond Estates and Botanicals produces floral arrangements for every occasion.  A. At the end of…

A: Inventory Valuation: It is the monetary amount connected with the products in inventory at the…

Q: Wusang Company installs replacement siding, windows, and louvered glass doors for  family homes. At…

A: Under GAAP, inventory is valued at lower of the Cost or Market Value. Replacement cost can be…

Q: Cost of goods manufactured equals $90000 for 2019. Finished goods inventory is $2000 at the…

A:

Q: why the closing inventory is 1440

A: Inventory is one of the important current asset being used in business. It can be raw materials…

Q: (B) At year-end, 31 Dec 2020, the perpetual inventory records of Samson Inc. indicate 80 units of a…

A:

Q: Determine the inventory loss as a result of the fire, using the gross profit method. (Round answer…

A: Calculation of average Gross Profit Margin

Q: he following information is available for October for Pharoah Company. (Round answers to 0 decimal…

A: solution: given Beginning inventory $320000 Net purchases 1040000 Net sales…

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: V. On September 30, 2023, Olmos Company's inventory burned. Sales and purchases for the year had…

A: COST OF GOODS SOLDCost of Goods Sold States the Amount of Cost Included in the Number of Units Sold…

Q: a. Assuming a perpetual inventory system, prepare journal entries for 2020, 2021, 2022 to record the…

A: a. Journal entries for reduction of inventory to market value using loss-allowance method :

Q: The following information is available from Uranus's records for the nine months ended September 30,…

A: Under Gross Profit method, Cost of goods sold is estimated/ calculated by reducing gross profit…

Q: The following information is available for Integrity Corporation for 2020: 1) Materials inventory…

A: Direct Material Cost - Direct materials costs are the expenses incurred on the raw materials…

Q: 16.On March 31, 2021, the warehouse of Cucumber Company was destroyed by fire. The company's…

A: Opening balance = P600,000 Sales = P2240000 Markup = 40% Cost of sales = 2240000*0.40/(1+0.40)…

Q: A fire destroys all of the merchandise -4 of A Company on January , 2020. Presented Below is…

A: Inventory refers to the value of the stock which is computed on the basis of the number of goods and…

Q: Fire occurred at the factory of Burny Corporation on February 16, 2020 which damaged its merchandise…

A: Answer -    Computation of estimated value of inventory damaged by fire : Particulars  Amt Amount…

Q: PROBLEM 18: San Jose Corporation was organized on January 1, 2 the corporation lost most of its…

A: The details for two years are given as fire occured and the stock was damaged. Required How much is…

Q: Required: calculate the estimated loss on the inventory

A: Explanation of Gross profit method:The gross profit method estimates inventory losses or values…

Q: Please help

A: Consider,Given data,Selling Price  = $ 5,08,000Cost of Disposal = $ 20,000Replacement value = $…

Q: g Henry Company began operations on January 1, 2020, and uses the FIFO method in costing its raw…

A: The choice of inventory technique is a crucial accounting decision that should be made with the…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.