The following selected accounts are taken from the ledger of ABC Trading Co. on December 31, 2020: • Sales = P600,000 Sales discount = 4% • Gross profit = P250,000 • • • Operating expenses - P180,000 Merchandise inventory, Jan. 1, 2020 = P100,000 Merchandise inventory, Dec. 31, 2020 = P75,000 • Accounts receivable, Jan. 1, 2020 = P80,000 ⚫ Accounts receivable, Dec. 31, 2020 = P60,000 What is the cost of sales ratio or cost ratio?

The following selected accounts are taken from the ledger of ABC Trading Co. on December 31, 2020: • Sales = P600,000 Sales discount = 4% • Gross profit = P250,000 • • • Operating expenses - P180,000 Merchandise inventory, Jan. 1, 2020 = P100,000 Merchandise inventory, Dec. 31, 2020 = P75,000 • Accounts receivable, Jan. 1, 2020 = P80,000 ⚫ Accounts receivable, Dec. 31, 2020 = P60,000 What is the cost of sales ratio or cost ratio?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 10EB: Starlight Enterprises has net credit sales for 2019 in the amount of $2,600,325, beginning accounts...

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