Question
I need help with these 3 questions, please 1) Given below are account balances for Charlie Company: Gross sales, $94,000 Sales returns and allowances, $4,000
I need help with these 3 questions, please
1)
Given below are account balances for Charlie Company:
Gross sales, $94,000
Sales returns and allowances, $4,000
Selling expenses, $12,000
Cost of goods sold, $60,000
Interest expense, $3,000
How much is the gross profit margin? (enter your percentage as a decimal rounded to two decimal places. Example - enter 46% as .46)
2) Alpha Company provided the following data concerning its income statement: sales, $1,040,000; purchases, $458,000; beginning inventory, $275,000; ending inventory, $287,000; operating expenses, $117,000; freight-in, $5,000; sales discounts, $27,000; purchases discounts, $15,000; sales returns & allowances, $131,000; and purchases returns & allowances, $35,000. The data are complete and provide the basis for preparation of an income statement. How much is net income?
3)
Alpha Company used the periodic inventory system for purchase & sales of merchandise. Discount terms for both purchase & sales are, FOB Destination, 2/10, n30 and the gross method is used.
> Alpha Company sold on account $2,500 of merchandise to Bravo Company on May 2, 2016. Selling price was $4,000. Freight charges related to this transaction of $150 were paid by Alpha Company.
> Bravo Company returned, to Alpha Company, $250 of this merchandise on May 3, 2016. Merchandise was sold for $400
Use this information to prepare Alpha Company's General Journal entries (without explanation) for May 2 & May 3 entries.
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