Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. crane company lost all of its inventory in a fire

Crane Company lost all of its inventory in a fire on December 28,2021. The accounting...

90.2K

Verified Solution

Question

Accounting

image
image
image
Crane Company lost all of its inventory in a fire on December 28,2021. The accounting records showed the following gross proftdata for November and December: November December (to Dec. 28) Sales $673,000 $964,000 Sales Returns and Allowances 16,000 27,000 Purchases 442,000 622.000 18,000 22.000 Purchase returns and allowances Freight in Beginning inventory 7.200 14.000 35.000 39,700 ? Ending inventory 39.700 Crane is fully insured for fire losses but must prepare a report for the insurance company November Calculate gross profit for the month of November Gross profit $ Question Part Score --/3 Calculate the gross profit margin percentage for November. (Round gross profit margin to 1 decimal place, es, 52.7%) Gross profit margin % Determine the amount of inventory lost by Crane Company as a result of the fire using the gross profit method (Round gross profit margin to 1 decimal place, s. 52.7% and final answer to O decimal places, es 5,275) Inventory lost by Crane

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students