Question: Wexler Company s inventory is subject to shrinkage via evaporation At
Wexler Company’s inventory is subject to shrinkage via evaporation. At the end of the current financial reporting period, the company’s inventory had a cost of $100,000. Management estimates that evaporation has resulted in a 5 percent inventory loss. Assuming that loss is recorded in a separate inventory loss account, prepare the general journal entry to record the inventory shrinkage for the year.
Answer to relevant QuestionsRouse Incorporated reported sales, cost of sales, and inventory figures for 2010 and 2011 as follows (all dollars in thousands):What is the amount of inventory turnover for each year, and in which year did Rouse manage its ...Jensen Tire had two large shipments in transit at December 31. One was a $125,000 inbound shipment of merchandise (shipped December 28, F.O.B. shipping point), which arrived at Jensen’s receiving dock on January 2. The ...Ford Motor Company uses LIFO to account for all of its domestic inventories. A note to the company’s financial statements indicated that:If the FIFO method had been used instead of the LIFO method, inventories would have ...Mach IV Audio uses a periodic inventory system. One of the store’s most popular products is an MP3 car stereo system. The inventory quantities, purchases, and sales of this product for the most recent year are as ...The owners of City Software are offering the business for sale. The income statements of the business for the three years of its existence are summarized below.In negotiations with prospective buyers of the business, the ...
Post your question