AutoSave OFF B-08.02Student Home Insert Draw Page Layout Formulas Data Review View Tell me Share 0 Comments Calibri (Body) v 10 ~ A {"AB" = = ab Wrap Text General HA VIIX 5 No Paste av Av Merge & Center v $ v % Conditional Format Cell Insert Delete Format Sort & Find & .000 Ideas Formatting as Table Styles Filter Select Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? Yes A1 X Sid Breman Art Gallery operates a retail store in Florida. All art displayed in the gallery is available for purchase. Much of the art is owned by the gallery. However, there are also works on display that belong to other A B F K L M N O P Q R S T U V W Sid Breman Art Gallery operates a retail store in Florida. All art displayed in the gallery is available for purchase. Much of the art is owned by the gallery. However, there are also works on display that belong to other artists. When the consigned art is sold, Sid remits 75% of the proceeds to the creator and retains a 25% commission. Art belonging to the gallery is marked to sellat 200% of cost. Following is a complete list of art on display in the gallery, along with the retail selling price. 2 NAME 3 4 4 5 6 7 8 9 10 11 12 13 14 See Shining Sea Mermaids Big Fish Shells At Dawn Sand Forever Development! Taking a Chance Tides and Moons Mystery Sea On the Beach Too Much Sun Spring Break Inland Alligators Return Frost and Farm SELLING PRICE $ 2,500 1,800 910 3,000 1,090 4,200 20,000 500 1,200 1,650 4,775 5,000 7,880 19,720 14,300 OWNERSHIP Gallery Artist Gallery Gallery Gallery Artist Gallery Gallery Gallery Artist Artist Artist Gallery Artist Gallery 15 16 17 18 19 20 (a) Identify if Sid Breman Art Gallery is the consignor or the consignee. Should the consigned inventory be reported on the balance sheet of the gallery? What special accounting/control challenges are presented by the existence of consigned inventory? 21 (b) Determine the correct inventory valuation to be reported by the gallery. 22 (c) Prepare a compound journal entry to reflect the sale of a consigned art item for $1,000 cash. Assume Sid reports only the commission as a revenue, and reflects the amount due to the artist as a payable. 23 24 25 26 27 28 29 Problem Worksheet + Edit 100% HES 5 = B-08.02Student Q Share 0 Comments v General [ HP/ EL Ayu O 5 Merge & Center Insert .00 .00 0 Delete Format $ %) Ideas Conditional Format Formatting as Table Cell Styles Sort & Filter Find & Select Yes No V W X Y Z AA AB AC AD AE AF AG AH AI AJ AK AL AM AN She AutoSave OFF Home Insert Draw Page Layout Formulas Data Review View Tell me Calibri (Body) 12 ~ = = = ab Wrap Text Paste a. A E Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? A1 AB C D . i JKL MN Q R S T a) The art gallery is the and the artists are the The inventory should be carried on the balance sheets of the (b) The items for indlusion in inventory are to be selected from the list below 6 See Shining ses Gallery 2.500 7 Mermaids Artist 1.800 Gallery 910 Calle 9 Gallery 3,000 Calle 10 Sand Forever Gallery 1,090 Artist 11 Development! Artist 4,200 12 Taking a Chance Gallery 20,000 18 Tides and Moons Gallery 500 13 14 Mystery Sea Gallery 1,200 15 On the Beach Artist 1,650 16 Too Much Sun Artist 4,775 17 Spring Break Artist 5,000 Gallery 7,880 10 Alligators Return 19 Artist O 19,720 20 Frost and Farm Gallery 14,300 21 TOTAL OWNED INVENTORY AT RETAIL $ 22 DIVIDED BY MARKUP RATE 23 TOTAL INVENTORY VALUE FOR THE BALANCE SHEET & Rig Fish Tailand 25 l GENERAL JOURNAL 28 27 28 Date Accounts Debit Credit 29 30 To record sale of art held on consignment Problem Worksheet + Ready 6 75% AutoSave OFF B-08.02Student Home Insert Draw Page Layout Formulas Data Review View Tell me Share 0 Comments Calibri (Body) v 10 ~ A {"AB" = = ab Wrap Text General HA VIIX 5 No Paste av Av Merge & Center v $ v % Conditional Format Cell Insert Delete Format Sort & Find & .000 Ideas Formatting as Table Styles Filter Select Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? Yes A1 X Sid Breman Art Gallery operates a retail store in Florida. All art displayed in the gallery is available for purchase. Much of the art is owned by the gallery. However, there are also works on display that belong to other A B F K L M N O P Q R S T U V W Sid Breman Art Gallery operates a retail store in Florida. All art displayed in the gallery is available for purchase. Much of the art is owned by the gallery. However, there are also works on display that belong to other artists. When the consigned art is sold, Sid remits 75% of the proceeds to the creator and retains a 25% commission. Art belonging to the gallery is marked to sellat 200% of cost. Following is a complete list of art on display in the gallery, along with the retail selling price. 2 NAME 3 4 4 5 6 7 8 9 10 11 12 13 14 See Shining Sea Mermaids Big Fish Shells At Dawn Sand Forever Development! Taking a Chance Tides and Moons Mystery Sea On the Beach Too Much Sun Spring Break Inland Alligators Return Frost and Farm SELLING PRICE $ 2,500 1,800 910 3,000 1,090 4,200 20,000 500 1,200 1,650 4,775 5,000 7,880 19,720 14,300 OWNERSHIP Gallery Artist Gallery Gallery Gallery Artist Gallery Gallery Gallery Artist Artist Artist Gallery Artist Gallery 15 16 17 18 19 20 (a) Identify if Sid Breman Art Gallery is the consignor or the consignee. Should the consigned inventory be reported on the balance sheet of the gallery? What special accounting/control challenges are presented by the existence of consigned inventory? 21 (b) Determine the correct inventory valuation to be reported by the gallery. 22 (c) Prepare a compound journal entry to reflect the sale of a consigned art item for $1,000 cash. Assume Sid reports only the commission as a revenue, and reflects the amount due to the artist as a payable. 23 24 25 26 27 28 29 Problem Worksheet + Edit 100% HES 5 = B-08.02Student Q Share 0 Comments v General [ HP/ EL Ayu O 5 Merge & Center Insert .00 .00 0 Delete Format $ %) Ideas Conditional Format Formatting as Table Cell Styles Sort & Filter Find & Select Yes No V W X Y Z AA AB AC AD AE AF AG AH AI AJ AK AL AM AN She AutoSave OFF Home Insert Draw Page Layout Formulas Data Review View Tell me Calibri (Body) 12 ~ = = = ab Wrap Text Paste a. A E Open recovered workbooks? Your recent changes were saved. Do you want to continue working where you left off? A1 AB C D . i JKL MN Q R S T a) The art gallery is the and the artists are the The inventory should be carried on the balance sheets of the (b) The items for indlusion in inventory are to be selected from the list below 6 See Shining ses Gallery 2.500 7 Mermaids Artist 1.800 Gallery 910 Calle 9 Gallery 3,000 Calle 10 Sand Forever Gallery 1,090 Artist 11 Development! Artist 4,200 12 Taking a Chance Gallery 20,000 18 Tides and Moons Gallery 500 13 14 Mystery Sea Gallery 1,200 15 On the Beach Artist 1,650 16 Too Much Sun Artist 4,775 17 Spring Break Artist 5,000 Gallery 7,880 10 Alligators Return 19 Artist O 19,720 20 Frost and Farm Gallery 14,300 21 TOTAL OWNED INVENTORY AT RETAIL $ 22 DIVIDED BY MARKUP RATE 23 TOTAL INVENTORY VALUE FOR THE BALANCE SHEET & Rig Fish Tailand 25 l GENERAL JOURNAL 28 27 28 Date Accounts Debit Credit 29 30 To record sale of art held on consignment Problem Worksheet + Ready 6 75%