Submitted by: Submitted by BHarmon40
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Category: Business and Industry
Date Submitted: 07/07/2014 10:55 PM
Date | Account Title | Debit | Credit |
| | | |
Sept. 6 | Merchandise inventory | $1,650.00 | |
| Accounts payable | | $1,650.00 |
| | | |
Sept. 9 | Merchandise inventory | $50.00 | |
| Cash | | $50.00 |
| | | |
Sept. 10 | Accounts payable | $66.00 | |
| Merchandise inventory | | $66.00 |
| | | |
Sept. 12 | Accounts receivable | $690.00 | |
| Sales revenue | | $690.00 |
| | | |
| Cost of Goods sold | $520.00 | |
| Merchandise inventory | | $520.00 |
| | | |
Sept. 14 | Sales returns and allowances | $45.00 | |
| Accountants receivable | | $45.00 |
| | | |
| Merchandise inventory | $34.00 | |
| Cost of goods sold | | $34.00 |
| | | |
Sept. 20 | Accounts receivable | $760.00 | |
| Sales revenue | | $760.00 |
| | | |
| Cost of goods | $570.00 | |
| Merchandise inventory | | $570.00 |
Bridgette’ Miller Harmon Week Three Homework Assignment
Problems E5-2
E5-6 (a)
Zhou’s Company Income Statement For the Year Ended Month of January 2014 |
Sales |
Sales Revenue | | $370,000 |
Less: Sales returns and allowance | $20.000+ | |
Sales discounts | $8000 | =$28,000 |
Net Sales | | $342,000- |
Costs of goods sold | | $212,000 |
Gross profit | | =$130,000 |
Operating expenses | | |
Salaries and wages expenses | $60,000+ | |
Rent expense | $32,000+ | |
Freight out | $7,000+ | |
Insurance expense | $12,000 | |
Total operating expense | | =$111,000 |
Income from operations | | $19,000- |
Less: Income tax expense | ($19,000 x 0.25) | $4,750= |
Net income | | $14,250 |
E 5-6 (b)
Profit margin ratio= | Net income |
| Net sales |
| |
Profit margin ratio = | $14,250 |
| $342,000 |
| |
Profit margin ration = | 4.2% |
| |
Gross profit rate = | Gross profit |
| Net sales |
| |
Gross profit rate= | $130,000 |
| $342,000 |
| |
Gross profit rate= | 38.0% |
P5-5B...