Domingo, Rocel © Date: Ceplember 4, 2021 BOA-9A INTERMEDIATE ACCOUNTING 2 ExeRUSE 1 ANSWER Tnventories : * Salaries of assembly line workers * Raw Materials Salary of factory foreman * Heating cost for the factory * Miscellaneous supplies used in production process Costs fo ship row materiale from “he: cupplier 4p he tector # Hecfricity cost for the fovtory + Depreciation of fockory machines # Property joxes on fackor-| lovilding, + Calarier of she fodory’s janitorial aoff EXERUCSE 2 ANSWER 0% FOD Shipping, Destination Owns the geode while in Aronett c S Te responsilole for the loss if gpods are damaged in transit q © Pays for the chipping costs e S EXERUSE B ANSWER Requirement a) \50,000 - P}.42 per it 105,000 = Peairemert 2) ISB «5 gor yi Requi equivemen ¢) we = F094 ger unitEXERCICE 4 ANSWER FIFO (ost OF Geops soLD Moy '8 % * 850 = F% 4,400 ss oe 4,920 oS 9% X FO = 1a, ¢@6 F _al,e00 ENDING INVENTORY Moy 99 la X SID = Fe, 864 @ lot S16 = | 6, 716u, 5 a xXS5b0 = 4I, 200 Pay, B14 EXERCISE 5 ANSWER SS vuits Unit Cosh Tehal Cost Moy 1 Balance 3 650 F 4,400 S — Purchoce 50 Be a%.€00 Balance, 5% $5q 9, 400 % Porras 1 Balonce @ Sel CISD we Soe ue) set CB) Bolance % SGI 34,795 aa Pwehace 12 Fa G84 Ralonce oS 563 We, 544 Dalane 4a 56D 9%, 65D ENDING INveENTRRY = 729,050 peo ees Cost oF boops sup = May 15 Is x Sel = F4,AIS 3G ay xX Gee = 1299 Fal rey EXEROSE G@ ANsweP Requirement a) Loss doe to decline in iventory value Pag Inventory Pos Requirement 6) Loss dye 4 decline in ientory value 74 Inventor eyEXERCISE 7 ANSWER Hem Inventory A Understated (Pia.00) No EAheck Ale Ale Het Trcome Undewtated (3200) B Understated (wae) Av PEecd Understated God) Oserstoted (3.000) © Understated @e0) vaderstated (9300) Otersioted 2) D Understated (260°) Cerstoted Poe0) TKhal Ypdercloled Penn) Olerchated (P22) Underciaked oma) Understated (ioe.20) EXERCISE 3 ANCWET. Requirement a) a. lnventory 42,000 Cost of gpods sold F89.00 6. Inventory Aico Cost of goods sold 2,000 Accounts Payable G00 © Inventory a0 Cost of gpods sold %,e00 4 Inventory deo Cost of gtods sold eco Sales Returns and Mlowances 00 %,500 Accounts Receivable, Requirerment bY TE spe, boeoks are now closed for 2000 she entries wil Stil be hy came. AS an adjustment Ebene Gorement accoonte Uke Cost of Goods Sold (Coes) and Soles Retuins and Mlowancer would hove to replace 1 Retained Faminge -EXERCISE O ANSWER GRoss PROFIT METHOD Inventory balance on Vanvary J, 9021 F IAS, com Porchaces G4 , C00 reds ovoilotle for sale 404, 000 Sales 455,000 Lees: Gives Proft 3A, 860 Estimated test of Goods Gold (Gro,460) Eshmaled Ingemtory , March 4 ,2eal IG ISO Lees: Vrdomaged goods Csg a) Inventory damaged boy five F 894, 190 ExeRast lo AscweP Ghoss PROHT MARGIN AOA: 9,92! "= 90-36% 9090; 2,059 _ [%, V9 = 15.10% 80,399 # The gros profit margin hos decreaced by § Mh . therefore, here ic a loss of smote on the wrrent year. INVENTORY WRN ovER PERIOD 2019 [C.se4 + Lag 594 ia] 25 = 45.41 da, | sean: [(2989 4 564+ 9+ rle4)] x 265 » 4624 dae * The inventory turnover Period in the current year ig 49-24 dows Which is larger than the previovs year Yhat is 46.41 dogs. This meane Ahad he inventory or goede are Weld fogether.