Webster Company uses the average retail method of inventory valuation. Following are the information available: Retail P 60,000 220,000 20,000 40,000 180,000 Beginning inventory Purchases Cost P 23,000 120,000 Net markups Net markdowns Sales revenue What is the estimated cost of ending inventory? P80,000 P48,000 P44,000 P38,133 а. b. с. d.

Webster Company uses the average retail method of inventory valuation. Following are the information available: Retail P 60,000 220,000 20,000 40,000 180,000 Beginning inventory Purchases Cost P 23,000 120,000 Net markups Net markdowns Sales revenue What is the estimated cost of ending inventory? P80,000 P48,000 P44,000 P38,133 а. b. с. d.

Name: Webster Company uses the average retail method of inventoryvaluation.
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Description: Webster Company uses the average retail method of inventoryvaluation. Following are the information available:RetailP 60,000220,00020,00040,000180,000Beginning inventoryPurchasesCostP 23,000120,000Net markupsNet markdownsSales revenueWhat is the est

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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Concept explainers

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.

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Question

Webster Company uses the average retail method of inventory
valuation. Following are the information available:
Retail
P 60,000
220,000
20,000
40,000
180,000
Beginning inventory
Purchases
Cost
P 23,000
120,000
Net markups
Net markdowns
Sales revenue
What is the estimated cost of ending inventory?
P80,000
P48,000
а.
b.
с.
P44,000
d.
P38,133

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