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WorksheetsGross Profit and Retail Method
Total questions: 11
Worksheet time: 21mins
Difficult. On Dec. 31, a physical inventory revealed that the ending inventory was only P100,000. IVE’s gross profit on net sales has remained constant at 40% in recent years. The company suspects that some inventory may have been stolen. At Dec. 31, how much is the estimated missing inventory?
P26,000
P30,000
P28,000
P32,000
What is the cost of goods available for sale?
28,000,000
31,000,000
33,000,000
29,500,000
30,500,000
What is the cost of goods sold?
21,900,000
22,200,000
21,300,000
24,000,000
1,200,000
What is the estimated cost of inventory shortage?
21,900,000
22,200,000
21,300,000
24,000,000
1,200,000
What is the inventory on December 31, 2014?
2,370,000
2,025,000
2,505,000
2,730,000
The gross margin is 40% of sales. What is the cost of goods available for sale?
1,680,000
1,920,000
2,400,000
2,440,000
What is the gross profit rate on cost for the current year?
25 percent
33 1/3 percent
75 percent
66 2/3 percent
What is the estimated cost of ending inventory using the conservative approach?
2,400,000
2,460,000
3,060,000
2,700,000
What is estimated cost of ending inventory using the average cost approach?
2,560,000
2,624,000
3,060,000
3,264,000
2,880,000
What is the amount of goods manufactured at retail?
1,400,000
2,200,000
2,000,000
2,240,000
2,880,000
What is the cost of goods sold?
500,000
200,000
840,000
600,000
