Synzer Co. has incurred the following costs in connection with its purchase of inventory: Purchase price based on vendors' invoices Trade discounts on purchases already deducted from P1,250,000 vendors' invoices 125,000 Salaries of accounting department Brokerage commission paid to agents for arranging imports Sales commission paid to sales agents After – sales warranty costs 150,000 50,000 75,000 62,500 Import duties Freight and insurance on purchases Other handling costs relating to imports 100,000 250,000 25,000 What is the total cost of the purchases?
Synzer Co. has incurred the following costs in connection with its purchase of inventory: Purchase price based on vendors' invoices Trade discounts on purchases already deducted from P1,250,000 vendors' invoices 125,000 Salaries of accounting department Brokerage commission paid to agents for arranging imports Sales commission paid to sales agents After – sales warranty costs 150,000 50,000 75,000 62,500 Import duties Freight and insurance on purchases Other handling costs relating to imports 100,000 250,000 25,000 What is the total cost of the purchases?
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter11: The Statement Of Cash Flows
Section: Chapter Questions
Problem 37E: Analyzing the Accounts Casey Company uses a perpetual inventory system and engaged in the following...
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What is the total cost of the purchases?
a. P1,425,000
b. P1,550,000
c. P1,675,000
d. P1,625,000
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