Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. lopez sales company had the following balances in

Lopez Sales Company had the following balances in its accounts on January 1, Year 2:...

70.2K

Verified Solution

Question

Accounting

Lopez Sales Company had the following balances in its accounts on January 1, Year 2:
Cash $ 55,000
Merchandise Inventory 35,000
Land 95,000
Common Stock 75,000
Retained Earnings 110,000
Lopez experienced the following events during Year 2:
Sold merchandise inventory that cost $28,000 for $59,500.
Sold land that cost $38,000 for $71,300.
Required:
Determine the amount of gross margin recognized by Lopez.
Determine the amount of the gain on the sale of land recognized by Lopez.

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

Statistics
1.2K views

Find the critical value(s) for a hypothesis test using a sample of size n = 12, a...

Basic Math
1.2K views

In a poll of 593 human resource? professionals, 49.1 ?% said that body piercings and tattoos were big grooming red flags....

Biology
1.2K views

Which pair of species would be expected to have fewer genetic differences orangutans and gorillas...

Biology
1.2K views

Identify the formed element shown at the arrow O plasma white blood cells red blood...

Physics
1.2K views

The electrical force like the bodies force decreases inversely as the square of the distance...

Accounting
1.2K views

What factors are considered in estimating the useful life of an intangible asset? ...

Accounting
1.2K views

19) The rule that requires financial statements to reflect the assumption that the business will...

Accounting
1.2K views

The following information is for X Company's two products - A and B: Product A...

Accounting
1.2K views

ssignment/takeAssignment Main.do?invoker=&takeAssignmentSessionLocator=&inprogress-false Department Ghad 2,160 units 25% completed at the beginning of the period, 13,500...

Accounting
1.2K views

True or False: A company's return on assets will always equal or exceed its profit...

Accounting
1.2K views

Carla Vista Co. purchases land for $120000 cash. Carla Vista assumes $5100 in property taxes...

Accounting
1.2K views

Suponga que tiene una cartera bien diversificada que tiene un rendimiento esperado de 11,0% y...