Compute the following total merchandise available for sale

Question

A retailer has a beginning monthly inventory valued at $100,000 at retail and $61,000 at cost. Net purchases during the month are $190,000 at retail and $115,000 at cost. Transportation charges are $10,500. Sales are $225,000. Markdowns and discounts equal $30,000. A physical inventory at the end of the month shows merchandise valued at $15,000 (at retail) on hand. Compute the following:

a. Total merchandise available for sale - at cost and at retail.

b. Cost complement

c. Ending retail book value of inventory.

d. Stock shortages.

e. Adjusted ending retail book value.

f. Gross profit.

Answer 1

You have to get ready an assessment that is belong to starting monthly inventory and Total merchandise available for sale - at cost and at retail A retailer has a starting monthly inventory valued at $100,000 at sell and $61,000 at cost. Net purchases during the month are $190,000 at sell and $115,000 at cost. Transportation charges are $10,500. Sales are $225,000. Markdowns and discounts equal $30,000. A physical inventory at the end of the month illustrates merchandise valued at $15,000 (at retail) on hand. Compute the subsequent: a. Total merchandise available for sale - at cost and at retail. b. Cost complement c. Finishing retail book value of inventory. d. Stock shortages. e. Regulated ending retail book value. f. Gross revenue.