Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. on june 1, haimes company spent $200,000 to purcha

On June 1, Haimes Company spent $200,000 to purchase 250,000 coffee mugs to sell at its...

Free

50.1K

Verified Solution

Question

Accounting

On June 1, Haimes Company spent $200,000 to purchase 250,000 coffeemugs to sell at its retail store. During the year, Haimes Companyrecorded the following sales of coffee mugs:     Month     Mugs solds    Selling price per mug     June       16,000         $2.00     July       35,000         $2.50     August      2,000         $3.00     September    31,000         $2.00     October     46,000         $3.00     November     47,000         $4.00     December     40,000         $3.50Calculate the gross profit earned by Haimes Company for the monthsAugust through November.

Answer & Explanation Solved by verified expert
4.1 Ratings (823 Votes)

August September October November
Mugs Sold 2000 31000 46000 47000
Selling Price per mug $                 3.00 $                   2.00 $              3.00 $               4.00
Sales $          6,000.00 $         62,000.00 $ 1,38,000.00 $ 1,88,000.00
Less: Cost of goods sold (Purchase price per mug * Mugs sold ) $          1,600.00 $         24,800.00 $    36,800.00 $     37,600.00
Gross Profit $         4,400.00 $         37,200.00 $1,01,200.00 $ 1,50,400.00
Purchase price per mug = $200,000/250,000 = $0.80 per mug

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: Zin AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Suppose that the weight of seedless watermelons is normally distributed with mean 6.5 kg. and standard...

Statistics
Q

Let x represent the dollar amount spent on supermarket impulse buying in a 10-minute (unplanned) shopping...

Statistics
Q

Compute the maximum thrust density, power density and specific impulse for a 3-grided ion engine, having...

Mechanical Engineering
Q

Blackburn is a growing company based in Vancouver. Over the years they have hired some of...

General Management
Q

A particle is thrown vectically up with an initial velocity 9 m s from the...

Physics
Q

Income Statement; Net Loss The following revenue and expense account balances were taken from the...

Accounting
Q

Assume the following cost information for XYZ Company: What minimum volume of sales dollars is...

Accounting
Q

Oriole Corp. has total current assets of $9,854,000 current liabilities of $4,132,000 and a quick...

Accounting
Q

jackson and jones, partners in the JJ grocery group, frequently withdraw cash for personal living...

Accounting
Q

Walton Company has measured its quality costs for the past two years. After the company...

Accounting
Q

Swifty Corporation purchased equipment in January of 2011 for $405000. The equipment was being depreciated...

Accounting
Q

A and types of S. How much is the mother the crew ON A...

Finance