Question
BeachTime Company uses a perpetual inventory system and both an accounts receivable and an accounts payable subsidiary ledger. Balances related to both the general ledger
BeachTime Company uses a perpetual inventory system and both an accounts receivable and an accounts payable subsidiary ledger. Balances related to both the general ledger and the subsidiary ledger for the company are indicated in the working papers. Below are a series of transactions for BeachTime Co. for the month of January. Credit sales terms are 2/10, n/30. The cost of all merchandise sold was 57% of the sales price.
Instructions
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(g) Calculate the following ratios. Include the written formula in words in addition to your calculations and your final answers:
1. Inventory Turnover
2. Days in Inventory
3. Gross Profit Rate
Can someone please help me with the closing entries ad the general ledgers?
The January transactions in a sales journal, a single-column purchases journal, a cash receipts journal, a cash payments journal, and a two-column general journal are recorded as below: Date Account Debited Sales Journal Accounts Invoice to Receivable Dr Sales cr $2 900 1826 $1.800 2 $1.600 $900 $2.700 SI 200 $3.500 S6100 Cost of Goods Sold Dr v entory C $1652 51 026 S912 $513 51.539 6 7 8 9 10 11 lc Ryder 11. ID Challer 11. V Amold 22 Jan M est 22. ID Challer 25 Jan IT 25. Jan Ryder 51.995 $3.499 13 Total $20.800 $11.856 18 19 S 20 21 22 23 24 25 26 Date Account R Driller Jan N Sova 16-Jan T Caper 16-Jan K Xerxes 16- J IR Drifter 27 T Caper 27 Jan N Sova 27. Jan R Driller Purchase Journal Date of Luvoice Terms 1/30 11 30 1/30 n30 Debir inventory Accounts Payable Cr 55.000 $2.200 $18.000 $14 200 $1.500 $14.500 $1.200 $3,800 130 11/30 11/30 11:30 28 Total SADA TELAH JELIIIIIIIIIII TILES su 10 s 57 Journal 58 Date Account Debit Credit 60 $300.00 9-Jan Sales Return and Allowance Accounts Receivable $300.00 63 $450.00 18 Jan Accounts Payable Inventory $450.00 $15,000.00 21 Jan Accounts Payable | Note Payable $15,000.00 The January transactions in a sales journal, a single-column purchases journal, a cash receipts journal, a cash payments journal, and a two-column general journal are recorded as below: Date Account Debited Sales Journal Accounts Invoice to Receivable Dr Sales cr $2 900 1826 $1.800 2 $1.600 $900 $2.700 SI 200 $3.500 S6100 Cost of Goods Sold Dr v entory C $1652 51 026 S912 $513 51.539 6 7 8 9 10 11 lc Ryder 11. ID Challer 11. V Amold 22 Jan M est 22. ID Challer 25 Jan IT 25. Jan Ryder 51.995 $3.499 13 Total $20.800 $11.856 18 19 S 20 21 22 23 24 25 26 Date Account R Driller Jan N Sova 16-Jan T Caper 16-Jan K Xerxes 16- J IR Drifter 27 T Caper 27 Jan N Sova 27. Jan R Driller Purchase Journal Date of Luvoice Terms 1/30 11 30 1/30 n30 Debir inventory Accounts Payable Cr 55.000 $2.200 $18.000 $14 200 $1.500 $14.500 $1.200 $3,800 130 11/30 11/30 11:30 28 Total SADA TELAH JELIIIIIIIIIII TILES su 10 s 57 Journal 58 Date Account Debit Credit 60 $300.00 9-Jan Sales Return and Allowance Accounts Receivable $300.00 63 $450.00 18 Jan Accounts Payable Inventory $450.00 $15,000.00 21 Jan Accounts Payable | Note Payable $15,000.00Step by Step Solution
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