On October 20, 20x1, ABC Company consigned 50 Laptops to DEF Company costing P16,000 each for saleand paid P60,000 in transportation costs. On December 30, 20x1, DEF reported the sale of 10 Laptops andremitted P252,000. The remittance was net of the agreed 10% commission.1. What amount should ABC recognize as consignment sales revenue for 20x1?2. How much is the net profit from consignment contract for 20x1?

Transportation cost per laptop = total Transportation cost / no. of laptop = 60000/50 = 1200

Answered: On October 20, 20x1l, ABC Company…

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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