10. Smile Collection, a local dentistry clinic, installed a brand new dental chair. The electrical work...

 
 

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10. Smile Collection, a local dentistry clinic, installed a brand new dental chair. The electrical work required to prepare for the installation was $18,000. The invoice price of the equipment $102,000. Additional costs were $3,000 for delivery and $2,000 for insurance during transportation. During installation, the handle of the dental chair was damaged because of carelessness of the delivery guy while bring the unit up to the unit. The cost of repairing the handle was $1,800. The total cost to be capitalized on the dental chair is F. Complete the table (12 points)- Calculate Net Sales, Gross Profit, Profit/Loss and Gross Profit Ratio for each of the following: A B C Sales $20,000 $ 105,000 $398,421 Sales discounts 1,500 24,200 53,456 Sales returns & allowances 500 6,700 28,734 Net sales Cost of goods sold 10,000 40,050 168,116 Gross Profit Operating expenses 5,000 36,100 78,432 Net Profit/loss 10. Smile Collection, a local dentistry clinic, installed a brand new dental chair. The electrical work required to prepare for the installation was $18,000. The invoice price of the equipment $102,000. Additional costs were $3,000 for delivery and $2,000 for insurance during transportation. During installation, the handle of the dental chair was damaged because of carelessness of the delivery guy while bring the unit up to the unit. The cost of repairing the handle was $1,800. The total cost to be capitalized on the dental chair is F. Complete the table (12 points)- Calculate Net Sales, Gross Profit, Profit/Loss and Gross Profit Ratio for each of the following: A B C Sales $20,000 $ 105,000 $398,421 Sales discounts 1,500 24,200 53,456 Sales returns & allowances 500 6,700 28,734 Net sales Cost of goods sold 10,000 40,050 168,116 Gross Profit Operating expenses 5,000 36,100 78,432 Net Profit/loss

Answer rating: 100% (QA)

To calculate the total cost to be capitalized on the dental chair we need to add up all the costs associated with its installation and acquisition Ele... View the full answer