Financial Accounting
3rd Edition
ISBN: 9780133791129
Author: Jane L. Reimers
Publisher: Pearson Higher Ed
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Textbook Question
Chapter 5A, Problem 3EA
Ian’s Small Appliances reported cost of goods sold as follows:
Ian’s made two errors:
- 1. 2009 ending inventory was understated by $5,000.
- 2. 2010 ending inventory was overstated by $2,000.
Calculate the correct cost of goods sold for 2009 and 2010.
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Students have asked these similar questions
Ayayai Hardware Limited reported the following amounts for its cost of goods sold and Inventory:
Cost of goods sold
Ending inventory
2018
Ending inventory
$169,200
Cost of goods sold
37,400
2017
Ayayai made two errors: (1) ending inventory for 2018 was overstated by $2,000 and (2) ending inventory for 2017 was understated
by $4,100. Assume that neither error has been found or corrected.
$152,900
Calculate the correct ending inventory and cost of goods sold amounts for each year.
$
29,400
2018
tA
$
LA
2017
Sheridan Hardware reported cost of goods sold as follows.
Beginning inventory
Cost of goods purchased
Cost of goods available for sale
Less: Ending inventory
Cost of goods sold
2022
Cost of goods sold $
$ 30,500
189,500
220,000
40,000
$180,000
Sheridan made two errors:
1.2021 ending inventory was overstated by $3,200.
2.2022 ending inventory was understated by $6,300.
Compute the correct cost of goods sold for each year.
2022
2021
$ 25,000
153,500
178,500
30,500
$148,000
$
2021
I need help.
Chapter 5A Solutions
Financial Accounting
Ch. 5A - Berry Corporation miscounted the ending inventory...Ch. 5A - How would each of the following inventory errors...Ch. 5A - How would each of the following inventory errors...Ch. 5A - Ians Small Appliances reported cost of goods sold...Ch. 5A - Tire Pro Companys records reported the following...Ch. 5A - Matrix Company uses a periodic, weighted average...Ch. 5A - Paiges Office Paper Company uses a perpetual...
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