Problem III Penny Company opened its Palawan branch only this year. At year end, the branch summarized operating data as follows: Sales, P264,000; Shipments from Home Office, P148,500; Purchases, P137,500; Expenses, P71,500; Ending Inventory P82,500 of which P16,500 from other suppliers. The branch remitted P151,250 to the home office. 1. If shipments form the home office are billed at cost plus 20%, compute for: a. Ending Inventory b. Allowance for Overvaluation of Branch Inventory 2. True net income of Palawan

Problem III Penny Company opened its Palawan branch only this year. At year end, the branch summarized operating data as follows: Sales, P264,000; Shipments from Home Office, P148,500; Purchases, P137,500; Expenses, P71,500; Ending Inventory P82,500 of which P16,500 from other suppliers. The branch remitted P151,250 to the home office. 1. If shipments form the home office are billed at cost plus 20%, compute for: a. Ending Inventory b. Allowance for Overvaluation of Branch Inventory 2. True net income of Palawan

Name: Problem IIIPenny Company opened its Palawan branch only this year. At
Uploaded: 2024-03-04T10:43:15.000Z
Channel: Bartleby
Description: Problem IIIPenny Company opened its Palawan branch only this year. At year end, the branch summarized operating data asfollows: Sales, P264,000; Shipments from Home Office, P148,500; Purchases, P137,500; Expenses, P71,500;Ending Inventory P82,500 of

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Please do not give solution in image format thanku
Magnum Ltd. has a branch in Agra. Goods are sent to Branch at 25% profit on cost. Following informatlon are available by Head office in Delhi in connection with this 5. Branch. Opening Balances: Rs. Stock (Invoice Value) 20,000 Branch Debtors 10,000 Furniture 10,000 Petty Cash 500 Transactions during the year; Goods sent to Branch 1,20,000 Goods in Transit 10,000 Goods returned by Branch 10,000 Goods returned by branch customer 5,000 Cash sale 65,000 Credit Sales ? Bad Debts 500 Discount allowed 500 Collection from debtors 44,000 Cash sent by Head office for Rent 2,000 Salary 2,500 Petty Cash 1,000 5,500 Closing Balances: Stock 25,000 Branch Debtors 15,000 Furniture 9,000 Petty Cash 400 Prepare: Branch Debtors A/c, Branch Stock A/c, Branch Adjustment A/c and Branch profit and loss A/c.
The data shown were obtained from the financial records of Italian Exports, Inc., for March: Estimated Sales $540,000 Sales 567,932 Purchases 294,830 Ending Inventory* 10% Administrative Salaries 50,340 Marketing Expense** 5% Sales Commissions 2% Rent Expense 7,600 Depreciation Expense 900 Utilities 2,300 Taxes*** 15% *of next month's sales **of estimated sales ***of income before taxes Sales are expected to increase each month by 10%. Prepare a budgeted income statement. Round your answers to the nearest dollar. Italian Exports, Inc.Budgeted Income StatementFor the Month Ending Mar. 31, 2020 $Sales Cost of Goods Sold $Beginning Inventory Purchases $Cost of Goods Available for Sale Ending Inventory $Cost of Goods Sold Gross Profit Operating Expenses $Administrative Salaries Marketing Expenses Sales Commissions Rent Expense Depreciation Expense Utilities Total Operating…
18. The following information pertains to Q Company: Trade accounts receivable, net of P10,000 credit balance in customers’ accounts, P350,000 Notes receivable, P30,000 due in 12 months, P210,000 Advances to officers, due in 2 years, P20,000 Advances to suppliers, P10,000 Sale price of unsold goods sent on consignment to Entity F (120% of cost), P24,000 Security deposit paid on a one-year lease contract, P6,000 Dividends receivable, P30,000 Determine the total current receivables. The correct answer is: 436,000
33. Subject :- Accounting
Answers are given. Only need solution for the answers. 16. Listed below are selected transactions of Lychee’s Department Store for the current year endingDecember 31.1. On December 5, the store received P4,500 from the Fruit Players as a deposit to be returnedafter certain furniture to be used in stage production was returned on January 15 the followingyear.2. During December, cash sales totaled P798,000, which includes the 12% VAT that must beremitted to the BIR by the 5th day of the following month.3. The store determined it will cost P100,000 to restore the area surrounding one of its buildingwhen the store is closed in 4 years. The present value of restoration is P64,000.4. As a result of uninsured accidents during the year, personal injury suits for P350,000 andP60,000 have been filed against the company. It is the judgment of Lychee’s legal counsel thatan unfavorable outcome is unlikely in the P60,000 case but that an unfavorable verdictapproximating P250,000 (reliably estimated)…
The data shown were obtained from the financial records of Italian Exports, Inc., for March: Estimated Sales $580,000 Sales 567,930 Purchases 294,832 Ending Inventory* 10% Administrative Salaries 50,280 Marketing Expense** 5% Sales Commissions 2% Rent Expense 7,700 Depreciation Expense 1,200 Utilities 2,500 Taxes*** 15% *of next month's sales **of estimated sales ***of income before taxes Sales are expected to increase each month by 10%. Prepare a budgeted income statement. Round your answers to the nearest dollar. Italian Exports, Inc.Budgeted Income StatementFor the Month Ending Mar. 31, 2020 $Sales Cost of Goods Sold $Beginning Inventory Purchases $Cost of Goods Available for Sale Ending Inventory $Cost of Goods Sold Gross Profit Operating Expenses $Administrative Salaries Marketing Expenses Sales Commissions Rent Expense Depreciation Expense Utilities Total…
Shipments received from home office are billed at 120% of cost. During the year, the branch received shipments billed at P360,000, and returned damaged goods with billed price of P24,000. The branch has an ending inventory of P72,000. The branch reported a loss of P10,000. How much is the true branch income? a. P56,000 b. P54,000 c. P44,000 d. P34,000
None
Using the following information. a. Beginning cash balance on March 1, $81,000. b. Cash receipts from sales, $305.000. c. Cash payments for direct materials, $130.000. d. Cash payments for direct labor. $79,000. e. Cash payments for overhead, $38.00. f. Cash payments for sales commissions, $7000 g. Cash payments for interest, $130 (1% of beginning loan balance of $13,000) h. Cash repayment of loan, $13.000. Prepare a cash budget for March for Gado Company. GADO COMPANY Cash Budget March Total cash available Less: Cash payments for Total cash payments $4 Loan activity Loan balance, end of month %24 K Prev earch
The data shown were obtained from the financial records of Italian Exports, Inc., for March: Estimated Sales $550,000 Sales 567,933 Purchases 294,814 Ending Inventory* 10% Administrative Salaries 50,340 Marketing Expense** 5% Sales Commissions 2% Rent Expense 7,400 Depreciation Expense 1,100 Utilities 2,600 Taxes*** 15% *of next month's sales **of estimated sales ***of income before taxes Sales are expected to increase each month by 10%. Prepare a budgeted income statement. Round your answers to the nearest dollar. Italian Exports, Inc. Budgeted Income Statement For the Month Ending Mar. 31, 2020 $fill in the blank 2 Cost of Goods Sold $fill in the blank 4 fill in the blank 6 $fill in the blank 8 fill in the blank 10 $fill in the blank 12 fill in the blank 14 Operating Expenses $fill in the blank 16 fill in the blank 18 fill in the blank 20 fill in the blank 22 fill in the blank 24 fill in…
2. Yasmeen Corporation is a wholesaler of industrial goods. Data regarding the purchases from suppliers are as follows: September October November December Purchases (all on account) OMR 31,000|OMR 51,000|OMR 46,000|OMR 45,000 Payments are expected to be 40% in the month of purchase, 60% in the month following purchase. Instructions: Prepare the expected cash payments to suppliers for the month of October, November and December.