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    BFAR Chap 8 Prob 8 Accounting Cycle of A Merchandising Business

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    scryx blood
    The income statement shows the Victoriano Navarette Traders' revenues and expenses for the year ended December 31, 2020. Net sales were $9,140,000 after deducting sales returns, allowances, and discounts from gross sales. Cost of goods sold was $5,330,000, resulting in a gross profit of $3,810,000. Total operating expenses of $3,335,000 included selling expenses of $1,635,000 and administrative expenses of $1,700,000, leading to a net profit of $475,000.

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    BFAR Chap 8 Prob 8 Accounting Cycle of A Merchandising Business

    Uploaded by

    scryx blood
    94 views2 pages
    The income statement shows the Victoriano Navarette Traders' revenues and expenses for the year ended December 31, 2020. Net sales were $9,140,000 after deducting sales returns, allowances, and discounts from gross sales. Cost of goods sold was $5,330,000, resulting in a gross profit of $3,810,000. Total operating expenses of $3,335,000 included selling expenses of $1,635,000 and administrative expenses of $1,700,000, leading to a net profit of $475,000.

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    BFAR_Chap_8_Prob_8_Accounting_Cycle_of_a_Merchandising_Business.xlsx

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    The income statement shows the Victoriano Navarette Traders' revenues and expenses for the year ended December 31, 2020. Net sales were $9,140,000 after deducting sales returns, allowances, and discounts from gross sales. Cost of goods sold was $5,330,000, resulting in a gross profit of $3,810,000. Total operating expenses of $3,335,000 included selling expenses of $1,635,000 and administrative expenses of $1,700,000, leading to a net profit of $475,000.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
    94 views2 pages

    BFAR Chap 8 Prob 8 Accounting Cycle of A Merchandising Business

    Uploaded by

    scryx blood
    The income statement shows the Victoriano Navarette Traders' revenues and expenses for the year ended December 31, 2020. Net sales were $9,140,000 after deducting sales returns, allowances, and discounts from gross sales. Cost of goods sold was $5,330,000, resulting in a gross profit of $3,810,000. Total operating expenses of $3,335,000 included selling expenses of $1,635,000 and administrative expenses of $1,700,000, leading to a net profit of $475,000.

    Copyright:

    © All Rights Reserved
    Download as XLSX, PDF, TXT or read online from Scribd
    Download as xlsx, pdf, or txt
    of 2

    Victoriano Navarette Traders

    Income Statement
    For the Year Ended December 31, 2020

    Net Sales
    Gross Sales
    Less: Sales Returns and Allowances 280,000.00
    Sales Discounts 210,000.00
    Net Sales
    Cost of Sales
    Merchandise Inventory 2/1/2020 2,170,000.00
    Purchases 4,720,000.00
    Less: Purchases Rets. and Allowances 110,000.00
    Purchases Discounts 70,000.00 180,000.00
    Net Purchases 4,540,000.00
    Transportation In 50,000.00
    Net Cost of Purchases 4,590,000.00
    Goods Available for Sale 6,760,000.00
    Less: Merchandise Inventory 2/28/2020 1,430,000.00
    Cost of Sales
    Gross Profit
    Operating Expenses
    Selling Expenses
    Salaries Expense 1,140,000.00
    Depreciation Expense-Store Equipment 160,000.00
    Transportation Out 170,000.00
    Miscellaneous Expenses 30,000.00
    Supplies Expense 80,000.00
    Insurance Expense 55,000.00
    Total Selling Expenses 1,635,000.00
    Administrative Expenses
    Salaries Expense 920,000.00
    Depreciation Expense-Office Equipment 320,000.00
    Supplies Expense 460,000.00
    Total Administrative Expenses 1,700,000.00
    Total Operating Expenses
    Profit
    9,630,000.00

    490,000.00
    9,140,000.00

    5,330,000.00
    3,810,000.00

    3,335,000.00
    475,000.00

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