Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. recording an inventory purchase shields company ha

Recording an Inventory Purchase Shields Company has purchased inventories incurring the following costs: (a) the...

80.2K

Verified Solution

Question

Accounting

Recording an Inventory Purchase

Shields Company has purchased inventories incurring the following costs: (a) the invoice amount of $8,000, (b) shipping charges of $480, (c) interest of $160 on the $8,000 borrowed to finance the purchase, and (d) $80 for the cost of moving the inventory to the company's warehouse.

Required Determine the cost to be assigned to the inventory. $Answer Record the purchase using "T" accounts.

Inventory (A)
(a) Answer Answer
(b) Answer Answer
(c) Answer Answer
(d) Answer Answer
Accounts Payable (L)
(a) Answer Answer
(b) Answer Answer
(c) Answer Answer
(d) Answer Answer

Notes Payable (L)
(a) Answer Answer
(b) Answer Answer
(c) Answer Answer
(d) Answer Answer
Interest Expense, Discounts Lost (E)
(a) Answer Answer
(b) Answer Answer
(c) Answer Answer
(d) Answer Answer

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

Accounting
1.2K views

When operating a business the calculation of taxable income is important as it is the basis...

Biology
1.2K views

Two plants are crossed, resulting in offspring with a 3:1 ratio for a particular trait....

Physics
1.2K views

English A charged parallel plate capacitor is kept in a magnetic field that is perpendicular...

Basic Math
1.2K views

se the information on the hypothetical economy E Mudville to answer the questions alculate private...

Basic Math
1.2K views

A certain forest covers an area of 2500 km. Suppose that each year this area...

Algebra
1.2K views

ng the triangle A C ZA ZB ZC 67 B b degrees degrees a a...

Accounting
1.2K views

Biossom Trading Company uses a periodic inventory system and has a...

Accounting
1.2K views

Hepburn Company bought a copyright for $136,800 on January 1, 2015, at which time the...

Accounting
1.2K views

Henscheid Roofing is considering the purchase of a crane that would cost $104,972, would have...

Accounting
1.2K views

Prepare a budgeted balance sheet at March 31 using the following information from Zimmer Company....

Finance
1.2K views

Shanken Corp. issued a 30-year, 5.2 percent semiannual bond 4 years ago. The bond currently...

Accounting
1.2K views

3) T F If a company sells an issue of its own bonds payable at...