Gross profit percentage for the sale to sarahs cycles

Assignment Help Accounting Basics
Reference no: EM13873236

Cycle Wholesaling sells merchandise on credit terms of 2/10, n/30. A sale for $ 800 (cost of goods sold of $ 500) was made to Sarah's Cycles on February 1. Assume Cycle Wholesaling uses a perpetual inventory system.

Required:

1. Give the journal entry Cycle Wholesaling would make to record the sale to Sarah's Cycles.

2. Give the journal entry to record the collection of the account, assuming it was collected in full on February 9.

3. Give the journal entry, assuming, instead, that the account was collected in full on March 2.

4. Calculate the gross profit percentage for the sale to Sarah's Cycles (rounded to one decimal place), assuming the account was collected in full on February 9.

Reference no: EM13873236

Questions Cloud

B is an onto function and e is subset of b : Let f : A → B is an onto function and E is subset of B. Then Prove that f(f-1(E))=E
Express the rate of heat loss from house per : A house is losing heat at a rate of 4500 kJ/h per °C temperature difference between the indoor and the outdoor temperatures. Express the rate of heat loss from this house per
What are the characteristics of a knowledge economy : What are the characteristics of a knowledge economy? What are the driving forces of knowledge based competition?
Determine the power rating of the electric resistance : The rate of heat loss from the air in the duct is estimated to be 300 W. Determine the power rating of the electric resistance heating element.
Gross profit percentage for the sale to sarahs cycles : Give the journal entry Cycle Wholesaling would make to record the sale to Sarah's Cycles. Give the journal entry to record the collection of the account, assuming it was collected in full on February 9. Give the journal entry, assuming, instead, that..
Describe the retailing mix : Describe the retailing mix (i.e. assortment, type and quality of merchandise, advertising and promotion used, location strategy, pricing). Does the store have a certain image and how do the store environment and personnel contribute to (or detract ..
What are the costs of the hclc turnover : What additional data should be gathered to learn more about managerial turnover? What are the costs of the HCLC turnover? Might there be any benefits?
Carme company uses the allowance method : On December 31, 2010, Carme Company had significant amounts of accounts receivable as a result of credit sales to its customers.
Find the equation of the tangent to the curve at the point : Find the equation of the tangent to the curve  at the point

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd