Inventory/ COGS
Cost of Goods sold is this type of account.
What is expense?
This inventory cost flow assumption results in a random mixture of goods being included in the balance of inventory and cost of goods sold.
What is weighted-average?
A machine has a cost of $15,300, an estimated residual value of $4,200, and an estimated service life of seven years. The machine is being depreciated on a straight-line basis. At the end of the second year, this amount will be reported for accumulated depreciation.
What is $3,171?
This is the amount of time a long-term asset is expected to be used.
What is over 1 year?
On November 1, 2024, a company borrows $53,000 cash. They sign a three-month, 6% note payable. Interest is payable at maturity. This is the journal entry for the payment of the note.
What is Debit Notes Payable $53,000, Interest Expense $265, Interest Payable $530 and Credit Cash $53,795?
These are the accounts that are recorded with a credit in the sale of inventory.
What is Sales Revenue and Inventory?
The following information pertains to inventory for a company:
March 1: Beg inv. 29 units @ $6.00
March 3: Purchased 15 units @ 4.00
March 9: Sold 26 units @ 8.60
This is the cost of goods sold, assuming the company uses LIFO.
What is $126?
Kansas Enterprises purchased equipment for $73,000 on January 1, 2024. The equipment is expected to have a ten-year service life, with a residual value of $8,400 at the end of ten years.
This is the depreciation expense for 2025 and the book value at December 31, 2025 using the straight-line method.
What is $6,460 and $60,080, respectively?
This account ay be reported only when one company purchases another company.
What is goodwill?
Assume a company sells $21 million in gift cards in November, and customers redeem $14 million of the gift cards in December. These are the necessary entries for the sale and redemption of the gift cards.
What is Nov 30: Debit Cash $21 mil and Credit Deferred Revenue $21 mil, Dec 31: Debit Deferred Revenue $14 mil and Sales Revenue $14 mil?
Given the information below, this is the gross profit.
Sales revenue $300,000, Accounts receivable $53,000, Ending inventory $119,000, Cost of goods sold $245,000, Sales returns $22,000
What is $33,000?
Inventory records for a company revealed the following:
April 1: Beginning Inventory 480 units * $2.46
April 20: Purchase 440 units * $2.66
The company sold 580 units of inventory during the month. This is the amount of ending inventory assuming LIFO cost.
What is $836.40?
On January 1, a company purchased store equipment for $28,000. The company estimates that at the end of its 10-year service life, the equipment will be worth $3,000. During the 10-year period, the company expects to use the equipment for a total of 10,000 hours. Save More used the equipment for 1,680 hours the first year. This is the journal entry for depreciation using the Double-Declining method.
What is Debit Depreciation Expense $5,600 Credit Accumulated Depreciation $5,600?
A company purchases land, building, and equipment for a single purchase price of $540,000. However, the estimated fair values of the land, building, and equipment are $160,000, $384,000, and $96,000, respectively, for a total estimated fair value of $640,000. This is the journal entry for the basket purchase.
What is Debit Land $135,000, Building $324,000, $81,000 and Credit Cash $540,000?
On September 1, 2024, Daylight Donuts signed a $100,000, 9%, six-month note payable with the amount borrowed plus accrued interest due six months later on March 1, 2025. Daylight Donuts accrued interest for the note on December 31, 2024. This is the Interest Expense recorded on the maturity date.
What is $1,500?
A company uses a perpetual system to record inventory transactions. The company purchases inventory on account on February 2 for $36,000. In addition to the cost of inventory, the company also pays $560 for freight charges associated with the purchase on the same day.
These are the journal entries for (a) the purchase of inventory on account and (b) payment of freight charges.
What is Debit Inventory $36,000 Credit Accounts Payable $36,000 and Debit Inventory $560 and Credit Cash $560?
Inventory records for a company revealed the following:
March 1: Beg. Inv. 1,010 units * $7.12
March 10: Purchase 530 units * $7.62
March 16: Purchase 391 units * $8.22
March 23: Purchase 530 units * $8.92
The company sold 1,810 units of inventory during the month. This is the ending inventory assuming FIFO method.
What is $5,722?
On January 1, a company purchases a delivery van for $42,400. They estimate that at the end of its four-year service life, the van will be worth $6,400. During the four-year period, the company expects to drive the van 180,000 miles. Actual miles driven each year were 46,000 miles in year 1 and 50,000 miles in year 2.
Calculate the Depreciation Expense for the first two years using the Activity-based method.
What is year one $9,200 year two $10,000?
A company purchased new equipment for $47,000. The company paid cash for the equipment. Other costs associated with the equipment were: transportation costs, $1,700; sales tax paid, $3,100; and installation cost, $1,500. This is the total capitalized cost reported for the equipment.
What is $53,300?
A cruise line is a defendant in litigation involving a swimming accident on one of its three cruise ships. The likelihood of a payment occurring is probable, and the estimated amount is $1.19 million. This is the necessary entry for the scenario.
What is Debit Loss $1,190,000 Credit Contingent Liability $1,190,000?
This is the equation for Gross Profit.
What is Net Revenue - COGS?
Inventory records for a company revealed the following:
April 1: Beginning Inventory 480 units * $2.46
April 20: Purchase 440 units * $2.66
The company sold 580 units of inventory during the month. This is the amount of ending inventory assuming WA cost.
What is $869? 1180.8
A landscaping company purchased a tractor at a cost of $42,000 and sold it three years later for $21,600. They recorded depreciation using the straight-line method, a five-year service life, and a $3,000 residual value. Tractors are included in the Equipment account. This is the journal entry for the sale of the tractor.
What is Debit Cash $21,600 and Accumulated Depreciation $23,400, Credit Equipment $42,000 and Gain $3,000?
A company purchased land as a factory site for $68,000. An old building on the property was demolished, and construction began on a new building. Costs incurred during the first year are listed as follows:
Demolition of old building: $8,800, Sale of salvaged materials $(1,200), Architect fees (for new building) $19,000, Legal fees (for title investigation of land) $2,800, Property taxes on the land (for the first year) $3,800, Building construction costs $580,000, Interest costs related to the construction $22,000. This is the amount recorded in the Land account.
What is $78,400?
A company estimates warranty expense at 3% of sales. Sales during the year were $8 million and warranty expenditures during the year were $51,500. This is the balance in the Warranty Liability account at the end of the year.
What is $188,500?