Smith hardware store a calendar solve this general accounting question Smith's Hardware Store, a calendar year taxpayer, had endinginventory of $125,000 on December 31st of the tax year. Duringthe year, the store purchased additional inventory of $380,000. Ifcost of goods sold for the year was $410,000, what was thebeginning inventory?A. $145,000B. $155,000C. $205,000D. $285,000

Beginning inventory solution:= ending inventory + cost of goods sold - purchased inventory= $125,000…

Answered: Smith's Hardware Store, a calendar year…

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter3: Business Income And Expenses

Section: Chapter Questions

Problem 5MCQ

See similar textbooks

Similar questions

Joe's Grocery Store, a calendar year taxpayer, had ending inventory of $160,000 on December 31st of the tax year. During the year, the store purchased additional inventory of $415, 000. If cost of goods sold for the year was $470,000, what was the beginning inventory? A. $55,000. B. $215,000. C. $255,000. D. $310,000.
Bagley Inc. had after-tax cash flows related to the purchase of inventory of $7,000 for September. What is the pre-tax cash flow relating to inventory purchases for the month, assuming a tax rate of 20%? Select one: O a. $10,000 O b. $4,900 c. $8,750 d. None of the above
1. 2. 3. 4. 5. 6. 7. search Swifty's cash register showed the following totals at the end of the day on March 17: pre-tax sales $56,000, GST $2,800, and PST $3,920. Swifty remitted $49,000 of sales taxes owing from March to the government on April 30. Swifty received its property tax bill for the calendar year for $55,200 on March 31, payable May 31. Swifty recorded no entries pertaining to property tax during the current year prior to the receipt of this bill. Swifty paid its employees for the week of August 15 on August 20. The gross pay was $83,000. The company deducted $4,128 for CPP, $1,312 for El, $6,400 for pension, and $16,020 for income tax from the employees' pay. Swifty recorded the employer portions of CPP and El for the week of August 15 on August 20 for $4,128 and $1,837, respectively. On September 15, all amounts owing for employee income taxes, CPP, and El pertaining to the payroll transactions above were paid. On December 31, Swifty's legal counsel believes that the…
2 Nunez Company, a retail hardware store, began business in August and elected a calendar year for tax purposes. From August through December, Nunez paid $319,000 for inventory to stock the store. According to a physical inventory count on December 31, Nunez had $64,600 of inventory on hand. Required: a. Compute Nunez's cost of goods sold for its first year assuming Nunez adopted the cash method as its overall method of accounting. b. Compute Nunez's cost of goods sold for its first year assuming Nunez adopted the accrual method as its overall method of accounting. Complete this question by entering your answers in the tabs below. Required A Required B Compute Nunez's cost of goods sold for its first year assuming Nunez adopted the cash method as its overall method of accounting. Cost of goods sold
Business (a calendar year C corporate taxpayer) has the following items of income and deduction for Year 10: Sold inventory worth $800,000. Cost of Goods sold was $350,000. Inventory is a material income producing factor. Received $100,000 for service income. The company provided $10,000 of these services in Year 10. It expects to provide $30,000 worth of services in each of Years 11 – 13. Received $40,000 from a tenant of a commercial property investment in December of Year 10 in full payment of Year 11’s rent. Paid $50,000 of employee salaries and $10,000 of deductible employee related taxes during Year 10. The employees earned bonuses of $20,000. The deductible payroll taxes related to those bonuses were $4,000. Business expects to pay the bonuses and related taxes ½ on March 1 and ½ on May 15 of Year 11. At the end of Year 10, the company estimates its remaining warranty expense related to this Year 10’s sales to be $15,000. It estimates that these amounts will be paid $3,000 per…
Minor, Inc., had revenue of $572,000 and expenses (other than income taxes) of $282,000 for thecurrent year. The company is subject to a 35 percent income tax rate. In addition, available-for-saleinvestments, which were purchased for $17,500 early in the year, had a market value at the end ofthe year of $19,200.a. Determine the amount of Minor’s net income for the year.b. Determine the amount of Minor’s comprehensive income for the year.c. How would your answers to parts a and b differ if the market value of Minor’s investments atthe end of the year had been $14,200?
all I need is D
At 1 December 20X5, Laurel owes the sales tax authorities $23,778. During the month of December, she recorded the following transactions: Sales of $800,000 exclusive of 17.5% sales tax. Purchases of $590,790 inclusive of sales tax. What is the balance on Laurel's sales tax account at the end of December? $
Company L sold an inventory item to Firm M for $40,000. Company L’s marginal taxrate is 21 percent. In each of the following cases.Required:a. Compute Company L’s after-tax cash flow from the sale when Firm M’s paymentconsisted of $10,000 cash and its note for $30,000. The note is payable two yearsfrom the date of sale. Company L’s basis in the inventory item was $15,700.b. Compute Company L’s after-tax cash flow from the sale when Firm M’s paymentconsisted of $5,000 cash and its note for $35,000. The note is payable two yearsfrom the date of sale. Company L’s basis in the inventory item was $47,000.c. Compute Company L’s after-tax cash flow from the sale when Firm M’s paymentconsisted of $40,000 cash. Company L’s basis in the inventory item was $18,000.d. Compute Company L’s after-tax cash flow from the sale when Firm M’s paymentconsisted of $40,000 cash. Company L’s basis in the inventory item was $44,000
In the quarter ended 31 March 20X2, Chas had taxable sales, net of sales tax, of $90,000 and taxable purchases, net of sales tax, of $72,000. If the rate of sales tax is 10%, how much sales tax is due? A $1,800 receivable В $2,000 receivable C $1,800 payable D $2,000 payable
A VAT registered person is engages in both VAT and VAT exempt During the year total sales amounted to P500,000, exclusive of the VAT. Sale of the VAT exempt business amounts to P200,000. During the quarter, the business incurred the following: Input VAT arising from repairs amounting P6,000. On the other hand, input on supplies, for common use amounted P1,200 The creditable input tax is:
On July 10, Kelt Company, a business located in Alberta, purchased $45,000 of inventory for resale on account. On July 25, Kelt recorded the sale of that merchandise on account for $50,000 plus tax. On August 10, Kelt remitted GST to the Receiver General. They had no other sales or input tax credits. Journalize all three transactions.

SEE MORE QUESTIONS

Recommended textbooks for you

Income Tax Fundamentals 2020

Accounting

ISBN:

9780357391129

Author:

WHITTENBURG

Publisher:

Cengage

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:

Cengage Learning

SWFT Corp Partner Estates Trusts

Accounting

ISBN:

9780357161548

Author:

Raabe

Publisher:

Cengage

Income Tax Fundamentals 2020

Accounting

ISBN:

9780357391129

Author:

WHITTENBURG

Publisher:

Cengage

Intermediate Accounting: Reporting And Analysis

Accounting

ISBN:

9781337788281

Author:

James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:

Cengage Learning

SWFT Corp Partner Estates Trusts

Accounting

ISBN:

9780357161548

Author:

Raabe

Publisher:

Cengage

PAYROLL ACCT., 2019 ED.(LL)-TEXT

Accounting

ISBN:

9781337619783

Author:

BIEG

Publisher:

CENGAGE L

SWFT Comprehensive Volume 2019

Accounting

ISBN:

9780357233306

Author:

Maloney

Publisher:

Cengage

Excel Applications for Accounting Principles

Accounting

ISBN:

9781111581565

Author:

Gaylord N. Smith

Publisher:

Cengage Learning

SEE MORE TEXTBOOKS