Question
Exercise 9-10 During 2017, Coronado Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Coronado for a lump sum of
Exercise 9-10
During 2017, Coronado Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Coronado for a lump sum of $55,700because it is discontinuing manufacturing operations and wishes to dispose of its entire stock. Three types of chairs are included in the carload. The three types and the estimated selling price for each are listed below.
| Type | No. of Chairs | Estimated Selling Price Each |
| Lounge chairs | 400 | $90 |
| Armchairs | 300 | 80 |
| Straight chairs | 600 | 50 |
During 2017, Coronado sells100lounge chairs,100armchairs, and130straight chairs.
What is the amount of gross profit realized during 2017? What is the amount of inventory of unsold straight chairs on December 31, 2017?(Round cost per chair to 2 decimal places, e.g. 78.25 and final answer to 0 decimal places, e.g. 5,845.)
| Gross profit realized during 2017 | $ |
| Amount of inventory of unsold straight chairs | $ |
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Fundamental accounting principle
Authors: John J. Wild, Ken W. Shaw, Barbara Chiappetta
21st edition
1259119831, 9781259311703, 978-1259119835, 1259311708, 978-0078025587
