Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

:) Hair Care Inc. is a wholesaler of hair supplies. Hair Care uses a perpetual inventory system. The following transactions (summarized) have been selected from

:)

image text in transcribed

image text in transcribed

image text in transcribed

Hair Care Inc. is a wholesaler of hair supplies. Hair Care uses a perpetual inventory system. The following transactions (summarized) have been selected from 2012: Sold merchandise for cash (cost of merchandise $28,097). $54,700 Received merchandise returned by customers as unsatisfactory (but in perfect condition), for cash refund (original cost of merchandise $760). 1,000 Sold merchandise (costing $4,650) to a customer, on account with terms 2/10, n/30. 11,800 Collected half of the balance owed by the customer in (c) within the discount period. 5,782 Granted an allowance to the customer in (c). 160 Compute Sales Revenue, Net Sales, and Gross Profit for Hair Care. (Omit the "$" sign in your response.) Sales revenue Net sales Gross profit Compute the gross profit percentage. (Round your answer to 1 decimal place. Omit the "%" sign in your response.) Gross profit % Prepare journal entries to record transactions (a)-(e). (Omit the "$" sign in your response.) Hair care is considering a contract to sell merchandise to a hair salon chain for $14,300. This merchandise will cost hair care $10,800. Compute the new gross profit percentage. (Round your answer to 1 decimal place. Omit the "%" sign in your response.) New gross profit %

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Mathematics Of Finance

Authors: Petr Zima

2nd Edition

0070082030, 9780070082038

More Books

Students also viewed these Accounting questions