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Inc., purchased inventory costing $ 150000 and sold 80% of the goods for $ 19500

ID: 2544029 • Letter: I

Question

Inc., purchased inventory costing $ 150000 and sold 80% of the goods for $ 195000. All purchases and sales were on account. Samantha later collected 10% of the accounts receivable.

Samantha. Inc., purchased inventory costing S1 50,000 and sold 80% of the goods for $195,000. All purchases and sales were on account. Samantha later collected 10% of the accounts receivable. 1. Journalize these transactions for Samantha, which uses the perpetual inventory system 2. For these transactions, show what Samantha will report for inventory, revenues, and expenses on its financlal statements at the endl of the month. Report gross profit on the appropriate statement. Accounts Recelvable 19,500 2. For these transactions, show what Samantha wll report for inventory, revenues, and expenses on Its financlal statements at the end of the month. Report gross profit on the approprlate statement. (If a box Is not used in the table leave the box empty; do not enter a label or enter a zero.) Determine what the company will report on the balance sheet: Balance Sheet Assets Current assets: Inventory 5 30,000

Explanation / Answer

Balance sheet :

Current assets Cash 19500 Account receivable (195000*90%) 175500 Inventory 30000