Question: On December 23 2012 Big Sky Sports Manufacturing sells a
On December 23, 2012, Big Sky Sports Manufacturing sells a truckload of sporting goods to the Sports R Us store in Amarillo, Texas. The terms of the sale are FOB destination. The truck runs into bad weather on the way to Amarillo and doesn’t arrive until January 2, 2013. Big Sky Sports Manufacturing’s invoice totals $126,000 including sales tax. The company’s year-end is December 31. What should Big Sky Sports Manufacturing reflect in its 2012 income statement for this sale?
Relevant QuestionsSuppose you manage a Pizza Place restaurant. Identify the missing amount for eachsituation:Accounting definitions are precise, and you must understand the vocabulary to properly use accounting. Sharpen your understanding of key terms by answering the following questions:1. How do the assets and owners’ equity of ...Apply your understanding of the relationships among the financial statements to answer these questions.a. How can a business earn large profits but have a small balance of retained earnings?b. Give two reasons why a business ...Glass, Inc., began 2012 with $83,000 in cash. During 2012, Glass earned net income of $430,000, and adjustments to reconcile net income to net cash provided by operations totaled $75,000, a positive amount. Investing ...Assume Neil, Inc., is expanding into Germany. The company must decide where to locate and how to finance the expansion. Identify the financial statement where these decision makers can find the following information about ...
Post your question