Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on january 1, the parts store had a $510,000 inven

On January 1, The Parts Store had a $510,000 inventory at cost. During the first...

70.2K

Verified Solution

Question

Accounting

On January 1, The Parts Store had a $510,000 inventory at cost. During the first quarter of the year, it purchased $1,650,000 of merchandise, returned $26,100, and paid freight charges on purchased merchandise totalling $40,600. During the past several years, the stores gross profit on sales has averaged 30%. Under the assumption the store had $2,060,000 of sales during the first quarter of the year, use the gross profit method to estimate its inventory at the end of the first quarter

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