The following information for Dorado Corporation relates to the three-month period ending September 30.Price perSalesUnits525,000Unit$ 56Beginning inventoryPurchases55,00038500,000Ending inventory30,00044?Dorado expects to purchase 250,000 units of inventory in the fourth quarter of the current calendar year at a cost of $45 per unit, andto have on hand 85,000 units of inventory at year-end. Dorado uses the last-in, first-out (LIFO) method to account for inventory costs.a. Determine the cost of goods sold and gross profit amounts Dorado should record for the three months ending September 30.b. Prepare journal entries to reflect these amounts.Complete this question by entering your answers in the tabs below.Required ARequired BDetermine the cost of goods sold and gross profit amounts Dorado should record for the three months ending September 30.Cost of goods soldGross profit

Given Data:Sales: 525,000 units at $56 per unitBeginning Inventory: 55,000 units at $38 per…

Answered: The following information for Dorado…

Excel Applications for Accounting Principles

4th Edition

ISBN:9781111581565

Author:Gaylord N. Smith

Publisher:Gaylord N. Smith

ChapterC: Cases

Section: Chapter Questions

Problem 1C

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Comprehensive The following information for 2019 is available for Marino Company: 1. The beginning inventory is 100,000. 2. Purchases returns of 4,000 were made. 3. Purchases of 300,000 were made on terms of 2/10, n/30. Eighty percent of the discounts were taken. 4. At December 31, purchases of 20,000 were in transit, FOB destination, on terms of 2/10, n/30. 5. The company made sales of 640,000. The gross selling price per unit is twice the net cost of each unit sold. 6. Sales allowances of 6,000 were made. 7. The company uses the LIFO periodic method and the gross method for purchase discounts. Required: 1. Compute the cost of the ending inventory before the physical inventory is taken. 2. Compute the amount of the cost of goods sold that came from the purchases of the period and the amount that came from the beginning inventory.
Ranger Industries has provided the following information at June 30: Other information: Average selling price, 196 Average purchase price per unit, 110 Desired ending inventory, 40% of next months unit sales Collections from customers: In month of sale20% In month after sale50% Two months after sale30% Projected cash payments: Inventory purchases are paid for in the month following acquisition. Variable cash expenses, other than inventory, are equal to 25% of each months sales and are paid in the month of sale. Fixed cash expenses are 40,000 per month and are paid in the month incurred. Depreciation on equipment is 2,000 per month. REQUIREMENT You have been asked to prepare a master budget for the upcoming quarter (July, August, and September). The components of this budget are a monthly sales budget, a monthly purchases budget, a monthly cash budget, a forecasted income statement for the quarter, and a forecasted September 30 balance sheet. The worksheet MASTER has been provided to assist you. Ranger Industries desires to maintain a minimum cash balance of 8,000 at the end of each month. If this goal cannot be met, the company borrows the exact amount needed to reach its goal. If the company has a cash balance greater than 8,000 and also has loans payable outstanding, the amount in excess of 8,000 is paid to the bank. Annual interest of 18% is paid on a monthly basis on the outstanding balance.
Langstons purchased $3,100 of merchandise during the month, and its monthly income statement shows a cost of goods sold of $3,000. What was the beginning inventory if the ending inventory was $1,250?
The following information for Dorado Corporation relates to the three-month period ending September 30. Units Price per unit Sales 425000 $36 Beginning Inventory 35000 18 Purchases 400000 24 Ending Inventory 10000 ? Dorado expects to purchase 150,000 units of inventory in the fourth quarter of the current calendar year at a cost of $25 per unit, and to have on hand 40,000 units of inventory at year-end. Dorado uses the last-in, first-out (LIFO) method to account for inventory costs.Determine the cost of goods sold and gross profit amounts Dorado should record for the three months ending September 30. Prepare journal entries to reflect these amounts.
The following information for Dorado Corporation relates to the three-month period ending September 30. Units Price per Unit Sales 485,000 $ 48 Beginning inventory 47,000 30 Purchases 460,000 36 Ending inventory 22,000 ? Dorado expects to purchase 210,000 units of inventory in the fourth quarter of the current calendar year at a cost of $37 per unit, and to have on hand 69,000 units of inventory at year-end. Dorado uses the last-in, first-out (LIFO) method to account for inventory costs. Determine the cost of goods sold and gross profit amounts Dorado should record for the three months ending September 30. Prepare journal entries to reflect these amounts.
In 2018, Mona Inc. started operations with an inventory costing P20,000. For the 2nd quarter of 2018, the purchase and sales were as follows: April May June TotalPurchases P5,000 P38,000 P70,400 P113,400Sales 24,000 51,000 75,500 150,500 The goods are sold at a gross profit of 20% of sales. For interim statement purposes, the inventory at the end of April, May and June, respectively are
The following information for Dorado Corporation relates to the three-month period ending September 30.Dorado expects to purchase 150,000 units of inventory in the fourth quarter of the current calendar year at a cost of $25 per unit, and to have on hand 40,000 units of inventory at year-end. Dorado uses the last-in, first-out (LIFO) method to account for inventory costs.Determine the cost of goods sold and gross profit amounts Dorado should record for the three months ending September 30. Prepare journal entries to reflect these amounts.
Skyland Company wants an ending inventory each month equal to 24% of that month's cost of goods sold. Cost of goods sold for February is projected at $89,000. Ending inventory at the end of January was $30,000. Based on this information, purchases for February would be: a) $59,000 b) $80,360 c) $97,640 d) $67,640
Aldi Company’s beginning inventory on January 1, 2023 consisted of 1,000 units costing $1.80 per unit. Purchases for the year ending December 31, 2023 were as follows: Quantity Total Cost January 25 2,500 $4,500 March 21 4,000 $9,600 April 20 3,000 $9,000 July 22 1,500 $5,400 October 14 3,200 $11,520 Sales during the period consisted of 8,200 units at a selling price of $5.10 per unit. Assuming the use of the FIFO inventory costing method, the ending inventory would be: Select one: a. $24,900 b. $27,120 c. $14,700 d. $23,820 e. $20,820
Wade Company estimates the cost of its physical inventory on March 31 for use in an interim financial statement. The rate of markup on cost is 25%. The following account balances are available: Inventory, March 1 $4,000,000 Purchases during March 2,000,000 Purchase returns 104,000 Sales during March 3,400,000 The estimate of the cost of inventory on March 31 would be $2,496,000. $2,720,000. $3,176,000. $3,346,000.
The following information for Quadrado Corporation relates to the three-month period ending September 30, 2015. Units Priceper Unit Sales 185,000 $ 35 Beginning inventory 35,000 27 Purchases 175,000 29 Ending inventory 25,000 ? Quadrado expects to purchase 225,000 units of inventory in the fourth quarter of 2015 at a cost of $30 per unit, and to have on hand 60,000 units of inventory at year-end. Quadrado uses the last-in, first-out (LIFO) method to account for inventory costs. a. Determine the cost of goods sold and gross profit amounts to record for the three months ending September 30, 2015.
Weisbro and Sons purchases its inventory one quarter prior to the quarter of sale. The purchase price is 60 percent of the sales price. The accounts payable period is 60 days. The accounts payable balance at the beginning of Quarter 1 is $27,200. What is the amount of the expected disbursements for Quarter 2 given the following expected quarterly sales? Quarter 1: $ 74,000 Quarter 2: $ 115,000 Quarter 3: $ 107,000 Quarter 4: $ 116,000

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