Merchandise with a selling price of 65000 remained

Reference no: EM13587791

Gross Profit Method) Higgs Company lost most of its inventory in a fire in November just before the year-end physical inventory was taken. Corporate records disclose the following.

Inventory (beginning) $186,000 Sales $863,000

Purchases 667,000 Sales returns 64,000

Purchase returns 46,000 Gross profit t % based 25%

On net selling price

Merchandise with a selling price of $65,000 remained undamaged after the fire, and damaged merchandise has a salvage value of $26,400. The company does not carry fire insurance on its inventory.

Instructions

Prepare a formal labeled schedule computing the fire loss incurred. (Do not use the retail inventory method.)

Reference no: EM13587791

Questions Cloud

Taxable income includes a deduction for 40000 of : current eampp computation. water corporation reports 500000 of taxable income for the current year. the following

48 capital gains and losses consider the four independent : 48 capital gains and losses. consider the four independent situations below for an unmarried individual and analyze e

Acme road repair contracted with one of their clients to : acme road repair contracted with one of their clients to provide miscellaneous road repairs for 75000 acme has incurred

From the dropdown box beside each adjusting entry select : from the dropdown box beside each adjusting entry select the letter of the explanation a through i that best describes

Merchandise with a selling price of 65000 remained : gross profit method higgs company lost most of its inventory in a fire in november just before the year-end physical

What is the amount of the difference between the variable : diego company manufactures one product that is sold for 80 per unit in two geographic regions-the east and west

Simple versus compound interest for each of the following : simple versus compound interest for each of the following notes calculate the simple interest due at the end of the

For the month of december 2014 patient charges at : for the month of december 2014 patient charges at northfield hospital a not-for-profit hospital were 2720000.

Sooner industries charges a price of 91 and has fixed cost : sooner industries charges a price of 91 and has fixed cost of 375500. next year sooner expects to sell 18200 units and

User Account

All Pages