Problem #2 - On January 13, 2022, Ramos Enterprises sold tool sets to Home Depot for cash, f.o.b. shipping point. Ramos allows Home Depot to return any unused tool sets within 60 days of purchase. Ramos estimates the cost of recovering the products will be mmaterial, and the returned tools sets can be resold at a profit. On January 28, 2022, Home Depot return some tool sets. Information concerning the sale and returns follows: Number of tool sets sold 42,750 Selling price of each tool set $85.75 Cost of each tool set $61.25 Number of sets estimated to be returned 2,138 Number of tool sets returned by Home Depot 1,283 nstructions: )Prepare journal entries for Ramos to record (1) the sale on January 13, 2022, (2) the return on January 28, 2022, and (3) any djusting entries required on January 31, 2022 (when Ramos prepares financial statements). Ramos believes the original estimate of

Problem #2 - On January 13, 2022, Ramos Enterprises sold tool sets to Home Depot for cash, f.o.b. shipping point. Ramos allows Home Depot to return any unused tool sets within 60 days of purchase. Ramos estimates the cost of recovering the products will be mmaterial, and the returned tools sets can be resold at a profit. On January 28, 2022, Home Depot return some tool sets. Information concerning the sale and returns follows: Number of tool sets sold 42,750 Selling price of each tool set $85.75 Cost of each tool set $61.25 Number of sets estimated to be returned 2,138 Number of tool sets returned by Home Depot 1,283 nstructions: )Prepare journal entries for Ramos to record (1) the sale on January 13, 2022, (2) the return on January 28, 2022, and (3) any djusting entries required on January 31, 2022 (when Ramos prepares financial statements). Ramos believes the original estimate of

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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