The following informationn was taken from the records of Afternoon Co. Jan 1,20x1 Jun 30, 20x1 Accounts payable 29,000 45,000 Raw materials 5,000 6,000 Work in process 20,000 27,000 Finished goods 23,000 ? Additional information: Afternoon Co. paid $20,000 for accounts payable, after deduction pf $2,500 for purchase return and $5,000 for purchase discounts. Afternoon Co. paid total freight of $1,000 on the purchases. The cost of direct labor and factory overhead during the period were $16,000 and $6,000 respectively. Sals from Jan. 1 to June 30 were A475,000, sales return were $15,000, and sales discounts were $5,000. the gross profit rate based on cost is 33 1/3% How much is the finished goods ending inventory? a. 29,000 b. 32,000 c. 33,600 d.35,750
The following informationn was taken from the records of Afternoon Co. Jan 1,20x1 Jun 30, 20x1 Accounts payable 29,000 45,000 Raw materials 5,000 6,000 Work in process 20,000 27,000 Finished goods 23,000 ? Additional information: Afternoon Co. paid $20,000 for accounts payable, after deduction pf $2,500 for purchase return and $5,000 for purchase discounts. Afternoon Co. paid total freight of $1,000 on the purchases. The cost of direct labor and factory overhead during the period were $16,000 and $6,000 respectively. Sals from Jan. 1 to June 30 were A475,000, sales return were $15,000, and sales discounts were $5,000. the gross profit rate based on cost is 33 1/3% How much is the finished goods ending inventory? a. 29,000 b. 32,000 c. 33,600 d.35,750
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The following informationn was taken from the records of Afternoon Co.
Jan 1,20x1 Jun 30, 20x1
Accounts payable 29,000 45,000
Raw materials 5,000 6,000
Work in process 20,000 27,000
Finished goods 23,000 ?
Additional information:
- Afternoon Co. paid $20,000 for accounts payable, after deduction pf $2,500 for purchase return and $5,000 for purchase discounts.
- Afternoon Co. paid total freight of $1,000 on the purchases.
- The cost of direct labor and factory
overhead during the period were $16,000 and $6,000 respectively. - Sals from Jan. 1 to June 30 were A475,000, sales return were $15,000, and sales discounts were $5,000.
- the gross profit rate based on cost is 33 1/3%
How much is the finished goods ending inventory?
a. 29,000 b. 32,000 c. 33,600 d.35,750
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