Question Details

(Solution Download) Prepare Journal entries (Perpetual Inventory System) & Partial Income Statement showing ...

Brief item decscription

Instant Solution Download for the question described below


Item details:

 

Clay pooll Hardwares is only hardware store in a remote area of northern Minnesota. Some of Claypools tranactions during the current year are as followed:

 

 

 

Nov 5th Sold Lumber on account to Bemmidji Construction for $13,390. The inventory subsidary ledger shows the cost of the this merchandise was $9,105.

 

 

 

Nov 9th Purchased Tools on account from Owatonna Tool Company, $3,800.

 

 

 

Dec 5th Collected in cash the $13,390 account recivable from Bemidji Construction.

 

 

 

Dec 9th Paid the $3,800 owed to Owatonna Tool Company.

 

 

 

Claypools personnel counted the inventory on hand and determined its cost to be $182,080. The accounting records however, indicate inventory of 183,790 and a

 

cost of goods sold of $695,222. The physcial count of inventory was observed by the company's auditors and is considered correct. (Inventory Shrinkage).

 

 

 


 

 

 

A. Prepare joural entries to record theses transactions and events in the accounting records of Claypool Hardware. (The company uses a Perpetual inventory

 

system).

 

 

 

B. Prepare a partial income statement showing the companies Gross profit for the year. (Net Sales for the year amount to $1,024,900.

 

 

 


 

 







About this question:
STATUS
Answered
QUALITY
Approved
ANSWER RATING

This question was answered on: Oct 24, 2017

PRICE: $15.99

Solution~00017285605120.zip (18.37 KB)

Buy this answer for only: $15.99

Pay using PayPal (No PayPal account Required) or your credit card. All your purchases are securely protected by PayPal.
SiteLock

Need a similar solution fast, written anew from scratch? Place your own custom order

We have top-notch tutors who can help you with your essay at a reasonable cost and then you can simply use that essay as a template to build your own arguments. This we believe is a better way of understanding a problem and makes use of the efficiency of time of the student. New solution orders are original solutions and precise to your writing instruction requirements. Place a New Order using the button below.

Order Now
v>