You are provided with the following information from Emerald Coffee Company.

a$.$ Emerald Coffee sells $100$ coffee mugs for $$30$ each and all customers paid with cash.

b$.$ Emerald Coffee uses LIFO inventory method and has the following inventory. At the

beginning of the period, they have $60$ mugs at $$10$ per mug. During the period, they

purchased $80$ mugs at $$9$ per mug.

c$.$ Emerald Coffee paid $$200$ for employee insurance during the period.

d$.$ Emerald Coffee paid $$150$ for rent in that period.

e$.$ Emerald Coffee spent $$1,200$ and purchased an equipment on Jan $1$ that year. The

equipment has a useful life of $10$ years and $0$ salvage value.

$15$

Please answer the following questions.

a$.$ What is Emerald Coffees revenue for the period?

Answer:

b$.$ What is Emerald Coffees cost of goods sold for the period?

Answer:

c$.$ For the following income statement expense items, please circle whether each item belongs

to the operating or non$-$operating section. Then, calculate each expense. If Starbucks does

not incur such expense in November, write $0$ in the box.

$(1)$ Insurance expense

Operating Number:

Non$-$Operating

$(2)$ Rent expense

Operating Number:

Non$-$Operating

$(3)$ Depreciation Expense

Operating Number:

Non$-$Operating

Answer rating: 100% (QA)

a To calculate Emerald Coffees revenue for the period we need to multiply the number of coffee mugs ... View the full answer