Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Accounting Basics Expert

ABC began operations on January 1, 2011. On January 1, 2011, they purchased inventory at a cost of $2,400,000. The selling price of this inventory was initially set at $5,000,000.

During 2011, net markdowns totaled $2,000,000, and net markups totaled $1,000,000. The ending inventory on December 31, 2011 (at Retail) was $1,600,000.

During 2012, inventory was purchased at a cost of $3,000,000. The initial selling price of this inventory was set at $8,000,000. Net markdowns in 2012 were $1,000,000, and net markups were $400,000. Ending Inventory on December 31, 2012 (at Retail) was $1,800,000.

a. Assuming that ABC uses the conventional retail inventory method, find out the amount of inventory they should report on their December 31, 2011 Balance Sheet?

b. Assuming that ABC uses the conventional retail inventory method, find out the amount of cost of goods sold that they will report on their Income Statement for the year-ending December 31, 2012?

Accounting Basics, Accounting

  • Category:- Accounting Basics
  • Reference No.:- M941089

Have any Question? 


Related Questions in Accounting Basics

1it has been suggested that it is not possible to determine

1. It has been suggested that it is not possible to determine the point at which financial accounting and managerial accounting diverge. What does that mean? Your response should be at least 200 words in length. For prob ...

You are the auditor for a company and need to review the

You are the auditor for a company and need to review the company's accounts receivable using probability proportional to size (PPS) sampling. In addition, the board of directors has requested that you and your team prese ...

Auerbach enterprisescomplete case 3a auerbach

Auerbach Enterprises Complete: Case 3A (Auerbach Enterprises). Auerbach Enterprises manufactures air conditioners for automobiles and trucks manufactured throughout North America. The company designs its products with fl ...

Accounting case studyplease provide the answers to these

Accounting Case Study: Please provide the answers to these questions in the form of a paper. Please ensure the paper and all paper references are in APA format. CASE: Evaluating a Company's Budget Procedures. Tom Emory a ...

Assignment comparing capital expenditurescomparing capital

Assignment: Comparing Capital Expenditures Comparing Capital Expenditures Select a company and access the last three years' annual reports. Next, select a company that is a direct competitor and download the previous thr ...

Question 1if total liabilities are 1000 and total assets

Question 1 If total liabilities are $1,000 and total assets are $8,000, owner's equity must be A. $7,000. B. $3,000. C. $10,000. D. $13,000. Question 2 If total assets are $30,000 and total liabilities are $18,000, capit ...

Accounting individual assignmentpart 1 - royal oak taxation

ACCOUNTING INDIVIDUAL ASSIGNMENT PART 1 - Royal Oak Taxation Advisory Service has the following transactions for the month of December 2016: Dec. 1 Commenced business by depositing $50 000 in a bank account in the name o ...

1 you are the manager of a payroll system your company is

1. You are the manager of a payroll system. Your company is going to replace the legacy payroll system with a more robust, Web-based version. Suggest two approaches that would minimize downtime and interruption to the pa ...

Term paperfirmsteamsanadarko petroleumadams michaelaellis

Term Paper Firms Teams Anadarko Petroleum Adams, Michaela Ellis, Tatiana Jenkins, Jordan Samuel, Brittany Cheniere Energy Amaefule, Frankie Fields, Brittanie Johnson, Brandon Small, Devin Chevron Corporation Brown, Tori ...

Question 1the following transactions occurred during july o

Question 1 The following transactions occurred during July: o Received $900 cash for services provided to a customer during July. o Received $2,200 cash investment from Barbara Hanson, the owner of the business. o Receiv ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro