Balance sheet of merchandising firm different from

Assignment Help Financial Accounting

Reference no: EM131221694

How is the balance sheet of a merchandising firm different from the balance sheet of a service business?

It reports various period costs.

It includes the asset, Merchandise Inventory.

It reports the cost of goods sold.

It includes the asset, Accounts Receivable.

Reference no: EM131221694

Questions Cloud

Stock was originally recorded using the cost method : 24,800 shares reacquired by Elixir Corporation for $48 per share were exchanged for undeveloped land that has an appraised value of $1,740,700. At the time of the exchange, the common stock was trading at $63 per share on an organized exchange. (a) P..

Find present value of an investment in plant and equipment : Find the present value of an investment in plant and equipment if it is expected to provide annual earnings of $65,000 for 15 years and to have a resale value of $125,000 at the end of that period. Assume a 10% rate and earnings at year end. The pres..

Cost of goods sold is reported : Cost of Goods Sold is reported

Historical or acquisition cost : There are four basic accounting principles that underlie all accounting and financial reporting practices. These principles are (1) historical cost, (2) revenue recognition, (3) matching principle, and (4) full disclosure. According to the historical..

Balance sheet of merchandising firm different from : How is the balance sheet of a merchandising firm different from the balance sheet of a service business?

Cost of goods available for sale for the year : Baxter Company's merchandise inventory at the start of 2014 was $85,000. The company purchased inventory during 2014 in the amount of $323,000, and its inventory at the end of the year was $102,000. What was Baxter's Cost of Goods Available for Sale ..

Firms accounting system must allocate the cost of goods : A merchandising firm's accounting system must allocate the Cost of Goods Available for Sale between Cost of Goods Sold and the ending balance in Merchandise Inventory.

What was the net or cash cost for the merchandise : Longoria Company purchased merchandise inventory on account with a list price of $5,000 and credit terms of 1/10, n/30. What was the net or cash cost for the merchandise?

Compute the amount of the gain or loss for pension plan : Net Gain or Loss Hudson Company's actuary has provided the following information concerning the company's defined benefit pension plan at the end of 2013: The difference between the actual and expected projected benefit obligation first occurred in 2..

User Account

All Pages