Professional Documents
Culture Documents
$33.50
$34.00
$29.50
$31.00
$54
$24
$48
$52
$722,000
$588,430
$533,400
$434,721
Page 1 of 6
Cost
$147,000
672,000
18,000
----------------------------
Retail
$210,000
960,000
---------60,000
42,000
1,008,000
If the foregoing figures are verified and a count of the ending inventory reveals that merchandise
actually on hand amounts to $108,000 at retail, the business has
o
o
o
o
Sustained a loss.
No gain or loss as there is close coincidence of the inventories.
None of these answer choices are correct.
Realized a windfall gain.
No gain or loss.
A gain of $240.
A loss of $3,000.
A loss of $240.
Page 2 of 6
$ 3,600
Purchases
$110,000
Purchase returns
6,000
Net markups
Abnormal shortage
4,000
Net markdowns
2,800
Sales returns
1,800
Normal shortage
2,600
Sales
77,000
Employee discounts
1,600
18,000
$39,400
$41,000
$43,400
$42,600
Page 3 of 6
$540,000
$480,000
$0
$780,000
IAS 41
All of these standards deal with inventory
IAS 2
IAS 18
Page 4 of 6
$ 3,600
Purchases
$ 140,000
Purchase returns
6,000
Net markups
Abnormal shortage
4,000
Net markdowns
2,800
Sales returns
1,800
Normal shortage
2,600
Sales revenue
77,000
Employee discounts
1,600
18,000
$71,000
$72,600
$73,400
$69,400
$29
$27
$23
$26
Page 5 of 6
Page 6 of 6