Need Assistance With Accounting?

Malone Corporation uses the perpetual inventory method. On March 1, it purchased $50,000 of inventory, terms 2/10, n/30. On March 3, Malone returned goods that cost $5,000. On March 9, Malone paid the supplier. On March 9, Malone should credit
a. purchase discounts for $1,000.
b. inventory for $1,000.
c. purchase discounts for $900.
d. inventory for $900.
Checkers uses the periodic inventory system. For the current month, the beginning inventory consisted of 2,400 units that cost $12 each. During the month, the company made two purchases: 1,000 units at $13 each and 4,000 units at $13.50 each. Checkers also sold 4,300 units during the month. Using the average cost method, what is the amount of cost of goods sold for the month?
a. $55,685.
b. $57,900.
c. $53,950.
d. $55,900.
The following information applied to Howe, Inc. for 2012:
Merchandise purchased for resale $350,000
Freight-in 8,000
Freight-out 5,000
Purchase returns 2,000
Howe’s 2012 inventoriable cost was
a. $350,000.
b. $353,000.
c. $356,000.
d. $361,000.

Both comments and pings are currently closed.

Comments are closed.

Powered by WordPress | Designed by: free css template | Thanks to hostgator coupon and web hosting reviews