The CC Manufacturing Company delivered ten DVD players to CLTV Company on consignment. These DVD player cost P3,000 each and are to be sold at P5,000 each. The CC Manufacturing Co. paid shipment cost of P2,500. CLTV Co. submitted an account sales stating that it had returned one unit and was remitting P21,900. This amount represents the total amount due to CC Manufacturing Co. after deducting the following from the selling price of the DVD player sold: Commission : 20% of selling price Advertising... P1,000 .. .. Delivery and installation .... P600 Cartage on consigned goods . P500 The cost of inventory in the hands of CLTV Company is:

The CC Manufacturing Company delivered ten DVD players to CLTV Company on consignment. These DVD player cost P3,000 each and are to be sold at P5,000 each. The CC Manufacturing Co. paid shipment cost of P2,500. CLTV Co. submitted an account sales stating that it had returned one unit and was remitting P21,900. This amount represents the total amount due to CC Manufacturing Co. after deducting the following from the selling price of the DVD player sold: Commission : 20% of selling price Advertising... P1,000 .. .. Delivery and installation .... P600 Cartage on consigned goods . P500 The cost of inventory in the hands of CLTV Company is:

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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Question

The CC Manufacturing Company delivered
ten DVD players to CLTV Company on
consignment. These DVD player cost P3,000
each and are to be sold at P5,000 each. The
CC Manufacturing Co. paid shipment cost of
P2,500. CLTV Co. submitted an account
sales stating that it had returned one unit
and was remitting P21,900. This amount
represents the total amount due to CC
Manufacturing Co. after deducting the
following from the selling price of the DVD
player sold:
Commission :
20% of selling price
Advertising . . . .
P1,000
Delivery and installation ....
P600
Cartage on consigned goods . P500
The cost of inventory in the hands of CLTV
Company is:

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The CC Manufacturing Company delivered ten DVD players to CLTV Company on consignment. These DVD player cost P3,000 each and are to be sold at P5,000 each. The CC Manufacturing Co. paid shipment cost of P2,500. CLTV Co. submitted an account sales stating that it had returned one unit and was remitting P21,900. This amount represents the total amount due to CC Manufacturing Co. after deducting the following from the selling price of the DVD player sold: Commission : 20% of selling price Advertising . . P1,000 Delivery and installation .... Cartage on consigned goods . P500 P600 The profit (loss) on consignment realized by CC Manufacturing Company is:
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