Problem 16-1 (IAA) Roxas Company reported the following net income: 2020 2021 1,750,000 2,000,000 An examination of the accounting records for the year ended December 31, 2021 revealed that several errors were made. The following errors were discovered: Salary accrued at year-end was consistently omitted: 2020 2021 100,000 140,000 The footings and extensions showed that the inventory on December 31, 2020 was overstated by P190,000. Prepaid insurance of P120,000 applicable to 2022 was expensed in 2021. Interest receivable of P20,000 was not recorded on December 31, 2021. On January 1, 2021 an equipment costing P400,000 was sold or P220,000. At the date of sale, the equipment had ccumulated depreciation of P240,000. he cash received was recorded as miscellaneous income in 021.

Problem 16-1 (IAA) Roxas Company reported the following net income: 2020 2021 1,750,000 2,000,000 An examination of the accounting records for the year ended December 31, 2021 revealed that several errors were made. The following errors were discovered: Salary accrued at year-end was consistently omitted: 2020 2021 100,000 140,000 The footings and extensions showed that the inventory on December 31, 2020 was overstated by P190,000. Prepaid insurance of P120,000 applicable to 2022 was expensed in 2021. Interest receivable of P20,000 was not recorded on December 31, 2021. On January 1, 2021 an equipment costing P400,000 was sold or P220,000. At the date of sale, the equipment had ccumulated depreciation of P240,000. he cash received was recorded as miscellaneous income in 021.

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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#26 While examining the December 31, 2018 financial statements of Sydney company, the following errors are discovered: *Inventory on January 1 had been overstated by P30,000. *Inventory on December 31 was understated by P60,000. During 2018, Donna received a P120,000 cash advance from customer for merchandise to be manufactured and shipped during 2019. The amount was credited to sales revenue. *The net income reported on the 2018 income statement before reflecting any adjustment is P3,000,000. What is the corrected net income for the year ended December 31, 2018? ANSWER: 2,970,000 Pls provide solution and explanation for the answer above
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Item 13 A company has determined its year-end inventory on a FIFO basis to be $530,000. Information pertaining to that inventory is as follows: Selling price $ 535,000 Costs to sell 37,500 Replacement cost 462,500 What should be the reported value of inventory if the company prepares its financial statements according to International Financial Reporting Standards (IFRS)?
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34 In the current year, a company reported cost of goods sold of $3,200,000 on its income statement. The company's beginning inventory balance was $160,000. During the year, the company purchased $3,250,000 of inventory. The company's ending inventory balance was $210,000. What was the company's average days to sell inventory for the year, rounded to two decimal places? O 23.58 O 23.95 O 21.10 O 20.78 NEXT > BOOKMARK