Milan Company Limited uses the gross profit method to estimate inventory for monthly reports. Information follows for
Question:
Milan Company Limited uses the gross profit method to estimate inventory for monthly reports. Information follows for the month of May:
Instructions
(a) Calculate the estimated inventory at May 31, assuming that the gross profit is 25% of sales.
(b) Calculate the estimated inventory at May 31, assuming that the markup on cost is 25%. Round the gross profit percentage to two decimal places.
Transcribed Image Text:
nventory, May 1 Purchases Freight-in $360,000 700,000 50,000 Sales Sales returns Purchase discounts $1,200,000 0,000 12,000
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a Inventory May 1 at cost 360000 Purchases gross at cost 700000 Purchase discounts 12000 Freightin 5...View the full answer
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The following are details of my Professional Experience. Responsibilities Eight years of demanding teaching experience in the field of finance and business studies at Master’s Level. Completion of the given tasks within given time with quality and efficiency. Marketing professional with practical experience in and solid understanding of a diverse range of management applications, including market analysis, sales and marketing, team building and quality assurance. I have excellent skills to approach deal and sustain corporate clients / customers by demonstrating not only extraordinary communication and interpersonal skills but also high caliber presentation, negotiation and closing skills. Manage and follow up the day-to-day activities. Manage and co-ordinate the inventories. Fulfillment of all the tasks assigned.
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Related Book For
Intermediate Accounting
ISBN: 978-1119048534
11th Canadian edition Volume 1
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield, Nicola M. Young, Irene M. Wiecek, Bruce J. McConomy
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