Question: On December 31, 2020, an entity reported inventory at P3,000,000 cost and P2,900,000 net realizable value. On December 31, 2021, the inventory was P4,000,000 at

On December 31, 2020, an entity reported inventory at P3,000,000 cost and P2,900,000 net realizable value. On

December 31, 2021, the inventory was P4,000,000 at cost and P3,700,000 at net realizable value. The entity

made net purchases of P9,000,000 during 2021.

What amount should be reported as cost of goods sold for 2021?

a. 8,000,000

b. 8,200,000

c. 8,450,000

d. 8,300,000

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

Use the financial statements for Bluffton Company from Problem 13-17B to compute the following for 2019. Round percentages to two decimal points. Financial Statements for Bluffton Company form 13-17B...

Q:

1. Edguy Company was organized on January 1, 2019. On that date, it issued 200,000 ordinary shares of P10 par value at P15 per share. The entity was authorized to issue 400,000 ordinary shares....

Q:

FACW3 V3 Name Insert Draw Page Layout Formulas Data Review View B C D E F Companies, a home improvement store chain, reported the following summarized figures: H DAVIS CONSULTING, INC. Income...

Q:

Solve the following. 1.0n January 1, 2021, Angel Company purchased marketable equity securities to be held as \"trading" for 3,700,000. The entity also paid commission, taxes and other transaction...

Q:

On January 1, Year 1, Entity A acquired 60% of outstanding ordinary shares of Entity B at gain on bargain purchase of P40, 000. For the year ended December 31, Year 2, Entity A and Entity B reported...

Q:

this answer already slove for A Note on Property Plant and Equipment Gross Block Land Building Plant and Machinery As at 1 July 2019 25,000,000 7,000,000 4,819,000 Revaluation 500,000 200,000 -...

Q:

Companies, a home improvement store chain, reported the following summarized figures: DAVIS CONSULTING, INC Income Statement Years Ended December 31, 2020 and 2019 zozo Net Sales $ 460 000 $ Cost of...

Q:

urgently needed Financial Accounting Exercise 3 6 Companies, a home Improvement store chain, reported the following summarized figures 7 B DAVIS CONSULTING, INC. Income Statement Year Ended December...

Q:

Process Cash Inc. provides cash clearing services to a variety of small businesses. Since its rapid growth since COVID, Process Cash Inc. has encountered some cash management struggles. Below is the...

Q:

It is April of 2021. What should Dr. Choi do about the public policy issues and why? ID The Chinese government allegedly gives illegal (per international trade laws) subsidies to Chinese producers to...

Q:

Problem 36-3 (IFRS) Carmela Company acquired nontrading equity instrument for P4,000,000 during the current year. The equity instrument is classified as financial asset at fair value through other...

Q:

McDonald (Agricultural Engineers) Ltd recently built a machine for a farmer at a cost of 22,000. The farmer, however, was recently declared bankrupt and so is unable to take delivery of the machine....

Q:

1. Select any, non-theory, topic from the Ordinary level Accounting syllabus and set a topic test for no less than 30 and no more than 50 marks. You should also prepare a mark scheme and indicate how...

Q:

5 0 of 5 2 Concepts completed Multiple Cholce Question Determining your current financial situation is the q , step in the financial planning process. third first second fourth Need help? Review...

Q:

Game Technology Corporation manufactures video game machines. Market saturation and technological innovations have caused pricing pressures that have resulted in declining profits. To stem the slide...

Q:

Suppose we have an economy with two consumers, i = 1, 2, who have identical Cobb- Douglas preferences over their private goods consumption, xi, and a public good, g, that can be represented by the...

Q:

Helen and Gerald incorporated Zion Ltd in 2008. Zion Ltd manufactures and sells wine barrels in Margaret River, Western Australia. The business had been successful until late 2013 when Helen and...

Q:

Grainy Goodness Company manufactures granola cereal by a series of three processes, beginning materials such as cats, sweeteners, and nuts being introduced in the Mixing Department. From the Mixing...

Q:

Choose below scenarios and Create the physical level ERD. Scenario : This is a simple list table of a company trying to keep track of parts that they sell and orders that came in purchasing those...

Q:

A pointer holds a memory address.

Q:

6. Develop a circular model, with positive and negative feedback loops, showing the relationships between the following critical variables:

Q:

Self-confidence

Q:

The number of people commenting on the statement