Aircon, Inc. consigned ten one-horsepower air conditioning units to Argy Trading and paid P2,000 for the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Aircon, Inc. consigned ten one-horsepower air conditioning units to Argy Trading and paid P2,000 for the freight. The consignee is allowed a commission of 5% on sales. Argy Trading submitted the following report at the end of the period: Sales (6 units) Less: Advances to Aircon, Inc. Selling expenses Installation and delivery Commission Net remittance 10,000 800 1,200 7,200 72,000 19,200 52,800 The selling expenses and the installation and delivery costs are chargeable to Aircon. Aircon consistently marks-up its inventories at a 12.50% gross profit rate based on sales price. This does not reflect any freight. How much was Aircon's profit or loss on the consignment (5 points)? Aircon, Inc. consigned ten one-horsepower air conditioning units to Argy Trading and paid P2,000 for the freight. The consignee is allowed a commission of 5% on sales. Argy Trading submitted the following report at the end of the period: Sales (6 units) Less: Advances to Aircon, Inc. Selling expenses Installation and delivery Commission Net remittance 10,000 800 1,200 7,200 72,000 19,200 52,800 The selling expenses and the installation and delivery costs are chargeable to Aircon. Aircon consistently marks-up its inventories at a 12.50% gross profit rate based on sales price. This does not reflect any freight. How much was Aircon's profit or loss on the consignment (5 points)?
Expert Answer:
Answer rating: 100% (QA)
To determine Aircon Incs profit or loss on the consignment we need to calculate the cost of the cons... View the full answer
Related Book For
Financial and Managerial Accounting the basis for business decisions
ISBN: 978-0078111044
16th edition
Authors: Jan Williams, Susan Haka, Mark Bettner, Joseph Carcello
Posted Date:
Students also viewed these accounting questions
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
-
Read the case study "Southwest Airlines," found in Part 2 of your textbook. Review the "Guide to Case Analysis" found on pp. CA1 - CA11 of your textbook. (This guide follows the last case in the...
-
The name of each data Table in an Oracle Server database must be prefixed by the keyword or (True/False)
-
(a) Determine the Fourier transform X(?) of the signal(b) Compute the 6-point DFT V(k) of the signalv(n) = {3, 2, 1, 0, 1, 2}(c) Is there any relation between X(?) and V(k)? Explain. x(n) = (1, 2, 3,...
-
Suppose you own Sharkey's Restaurant in the small town of Boxburg, Western Australia. Now you're closed per the premier's orders, as all staff are advised to stay home. You tried to stay open for...
-
Derive the stiffness and mass matrices of the planar frame element (general beam element) shown in Fig. 12.16 in the global \(X Y\)-coordinate system. Y U U3 U Joint 1 Joint 2 U6 Us UA FIGURE 12.16 A...
-
Gardner Company produces plastic that is used for injection-molding applications such as gears for small motors. In 2013, the first year of operations, Gardner produced 4,000 tons of plastic and sold...
-
Dakota Mining Company has two competing proposals: a diamond core drill or a hydraulic excavator. Both pieces of equipment have an initial investment of $715,855. The net cash flows estimated for the...
-
The COVID-19 pandemic affected companies in the food industry in unique ways, particularly during 2020. Ruth's Hospitality Group (Ticker: RUTH) develops and operates fine dining restaurants under the...
-
There are many jobs that exist in the growing field of sport communications. As the business of sports has evolved, so have the jobs within the field. In this project you will identify two potential...
-
Consider the follow firewall policy defined below. ID protocol source IP destination IP decision 1 udp 1 0 . 1 . 1 . * 1 0 . 3 . 7 8 . 2 0 4 deny 2 udp 1 7 2 . 1 0 . 2 3 . * 1 9 2 . 1 6 8 . 1 . 2 4...
-
BEST PRACTICES FOR CYBERSECURITY ETHICSNo single, detailed code of cybersecurity ethics can be fitted to all contexts and practitioners;organizations and professions should therefore be encouraged to...
-
Completion 20. A(n) is an integrated circuit designed to process instructions. 21. Processors based on technology dominate tablet computers and smartphones. 22. processors are found in Microsoft's...
-
explain last five lines in detail public void add(int index, Object obj) throws IndexOutOfBounds Exception { if( index > size || index < 0 ) throw new IndexOutOf Bounds Exception ("Index: + index +...
-
A hierarchical way of associating host names with IP addresses is known as: a ARP: b DNS; c RARP; d IP; interface can carry traffic of multiple VLANs. a Access ports b Network ports c Trunk ports d...
-
Evaluate the financial statements and make a convincing argument for investment in one of the two target companies. Statements of Profit or Loss (SOPL) ALD Ltd Turnover Cost of sales Gross profit...
-
Prove that the mean heat capacities C P H and C P S are inherently positive, whether T > T 0 or T < T 0 . Explain why they are well defined for T = T 0 .
-
Listed below are 12 technical accounting terms discussed in this chapter: Each of the following statements may (or may not) describe one of these technical terms. For each statement, indicate the...
-
The following is information concerning a product manufactured by Ames Brothers: Sales price per unit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $70 Variable cost per unit . . ....
-
Identify four ratios or other analytical tools used to evaluate profitability. Explain briefly how each is computed.
-
Convert 52 nm to sm.
-
A helicopter has a rotor diameter of 30 ft and it is being operated in a hover at 286.5 rpm. Find the tip speed Vt of the rotor.
-
The airplane in Problem 6 starts from a brakeslocked position on the runway. The airplane takes off at an airspeed of 200 fps. Find the time for the aircraft to reach takeoff speed.
Study smarter with the SolutionInn App