Question #1 - Consignment Sales

On May 3, 2014, Eisler Company consigned 100 freezers, costing $700 each, to Remmers Company. The cost of shipping the freezers amounted to $800 and was paid by Eisler Company. On December 30, 2014, a report was received from the consignee, indicating that 50 freezers had been sold for $900 each. Remittance was made by the consignee for the amount due after deducting a commission of 8%, advertising of $250, and total installation costs of $300 on the freezers sold. Compute the amount of cash that will be remitted by the consignee

#1. Cash Remitted = $

Questions #2 & #3

Marle Construction enters into a contract with a customer to build a warehouse for $950,000 on March 30, 2018 with a performance bonus of $50,000 if the building is completed by July 31, 2018. The bonus is reduced by $10,000 each week that completion is delayed. Marle commonly includes these completion bonuses in its contracts and, based on prior experience, estimates the following completion outcomes:

Completed by

Probability

July 31, 2018

65%

August 7, 2018

25%

August 14, 2018

5%

August 21, 2018

5%

#2 - The transaction price, using "probability weighted method "for this transaction is ?

#3 - Thetransaction price, using "Most Likely Outcome "for this transaction is ?

#2. Transaction price using "probability weighted method " = $

#3. Transaction price using "most likely outcome method " = $

Question #4

New Age Computers manufactures and sells pagers and radio paging systems which include a 180 day warranty on product defects. It also sells an extended warranty which provides an additional two years of protection. On May 10, it sold a paging system for $4,500 and an extended warranty for another $1,500. Unearned Warranty Revenue would be recorded for what amount?

#4. Unearned Warranty Revenue would be recorded for = $

Question #5

On August 5, 2018, Famous Furniture shipped 40 dining sets on consignment to Furniture Outlet, Inc. The cost of each dining set was $360 each. The cost of shipping the dining sets amounted to $3,600 and was paid for by Famous Furniture. On December 30, 2018, the consignee reported the sale of 30 dining sets at $850 each. The consignee remitted payment for the amount due after deducting a 6% commission, advertising expense of $600, and installation and setup costs of $780. The amount cash received by Famous furniture is

#5. Cash Received = $

Question #6

On August 5, 2018, Famous Furniture shipped 40 dining sets on consignment to Furniture Outlet, Inc. The cost of each dining set was $360 each. The cost of shipping the dining sets amounted to $1,800 and was paid for by Famous Furniture. On December 30, 2018, the consignee reported the sale of 30 dining sets at $850 each. The consignee remitted payment for the amount due after deducting a 6% commission, advertising expense of $600, and installation and setup costs of $780. The total profit on units sold for the consignor is

#6. Profit on units sold for the consignor = $