Chens Department Store is a merchandising company that uses the periodic inventory system. Selected account balances are
Question:
Chen’s Department Store is a merchandising company that uses the periodic inventory system. Selected account balances are listed below:
Sales....................................$175,000
Purchases...........................90,000
Inventory (beginning).......23,000
Inventory (ending).............17,000
Purchase returns and allowances..........3,000
Purchase discounts............7,000
Transportation-in...............4,000
Sales discounts...................8,000
Sales returns and allowances.................5,000
Refer to the account information for Chen’s Department Store.
1. Calculate Chen’s net sales.
a. $162,000
b. $167,000
c. $170,000
d. $175,000
2. Refer to the account information for Chen’s Department Store Calculate Chen’s cost of goods purchased
a. $ 84,000
b. $ 90,000
c. $ 103,000
d. $ 117,000
Intermediate Accounting
ISBN: 978-0324300987
10th Edition
Authors: Loren A Nikolai, D. Bazley and Jefferson P. Jones