User Account

All Pages

How do compute impact of the errors on cost of goods sold

Assignment Help Accounting Basics
Reference no: EM132698035

The Finish Line Inc. reported the following items in its fiscal 2014 financial report (dollars in millions):

                                     2014             2013

Sales                       $1,821       $1,670

Cost of goods sold:

Beginning inventory       $304         $244

Purchases                   1,276        1,183

Goods available for sale $1,580      $1,427

Less: Ending inventory 343              304

Cost of goods sold 1,237               1,123

Gross profit            $584                  $547

Assume that counting errors caused the ending inventory in 2013 to be understated by $50 and the ending inventory in 2014 to be overstated by $50.

Problem 1: Compute the impact of these errors on cost of goods sold for the year ended December 31, 2014, and on the inventory balance as of December 31, 2014.

Reference no: EM132698035

Questions Cloud

Discuss the correct recognition and measurement : Discuss the correct recognition and measurement of this business combination in the consolidated financial statements of Bogart, showing calculations
What is the dollar cost of debt : The Copper Mountain? Group, a private equity firm headquartered in? Boulder, Colorado, borrows ?£4,600,000 for one year at 8.375?% interest.
How do make the consolidation worksheet entries at june : Prepare the consolidation worksheet entries on 1 January 2019, immediately after combination. Prepare the consolidation worksheet entries at 30 June 2019.
What is the projected cash inflow from accounts receivable : Past records indicate that expected receipts collected from debtors will be 60 per cent in the month of sale. What is the projected cash inflow
How do compute impact of the errors on cost of goods sold : How do Compute the impact of the errors on cost of goods sold for the year ended December 31, 2014, and on the inventory balance as of December 31, 2014.
What is the duty of a tax practitioner : What is the duty of a tax practitioner if he learns that a client has not complied with the revenue laws of the United States or has made an error
Does the law have other objectives : Does the law have other objectives? If the federal income tax law has multiple objectives, can it possibly achieve an acceptable level of simplicity?
Discuss the senator position : Discuss the Senator's position, giving consideration to tax rate structures (e.g., progressive, proportional, and regressive) and to the concepts of tax equity.
Prepare a journal entry to record employer benefits expense : Sally Smith earned a salary of $66,000, Prepare a journal entry to record the employer's benefits expense related to Sally Smith's salary for the year.

Reviews

Write a Review

Accounting Basics Questions & Answers

  Prepare the entry to record depreciation

Prepare the entry that is required to correct the prior years' depreciation, if any. Prepare the entry to record depreciation for 2017

  Prepare journal entries in the bid deposits fund

(Journal entries for an Agency Fund) Prepare the following journal entries in the Bid Deposits Fund, an Agency Fund. This fund is used to record all deposits.

  What is the present value of the bond today

If the current interest rate demanded by the market is 0.15, what is the present value of the bond today? The bond has a par value of $1,000

  How much was bravo company net income

Transaction during 20X6 was the purchase of $5,000 of equipment for cash near the end of the year. How much was Bravo Company's 20X6 net income?

  Assume during the quarter ending december

Assume during the quarter ending December 31 of the current year, MatsonOffice Systems had 13 weekly paydays and three monthly paydays.

  Data breach response-capital project

What protocols should Bullzeye implement in order to enhance their response in the event of a data breach? Be sure to consider the lessons learned from data breaches at the national retailers regarding the effectiveness of their response plans.

  Discuss what amount should tom report as net earnings

What amount should tom report as net earnings from self employment

  Find the dollar amount that brunswick will report

Use this information to find the dollar amount that Brunswick will report on its fiscal year 2018 Balance Sheet for Paid in Capital Treasury Stock

  Enhance the personal memory service

1. What is the main difference between the 3 rd Internet revolution and 4 th UbiCom revolution? 2. How can UbiCom enhance the personal memory service?

  Post closing entries and complete the closing process

At June 30, 2017, the end of its most recent fiscal year, Green River Computer Consultants' post-closing trial balance was as follows.

  You purchased a stock one year ago at a price of 55 per

you purchased a stock one year ago at a price of 55 per share. you have received quarterly dividends of .35 a share.

  Record the conversion using the book value approach

Swifty Corporation has outstanding 1,700 $1,000 bonds, Record the conversion using the book value approach

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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