In an annual audit of Monty Company Limited, you find that a physical inventory count on...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
In an annual audit of Monty Company Limited, you find that a physical inventory count on December 31, 2023, showed merchandise of $440,000. You also discover that the following items were excluded from the $440,000: 1. Merchandise of $61,800 is held by Monty on consignment from BonBon Corporation. 2. 3. 4. 6. 7. Merchandise costing $32,400 was shipped by Monty f.o.b. destination to XYZ Ltd. on December 31, 2023. This merchandise was accepted by XYZ on January 6, 2024. Merchandise costing $46,400 was shipped f.o.b. shipping point to ABC Company on December 29, 2023. This merchandise was received by ABC on January 10, 2024. Merchandise costing $73,900 was shipped f.o.b. destination from Wholesaler Inc. to Monty on December 30, 2023. Monty received the items on January 3, 2024. Merchandise costing $50,700 was shipped by Distributor Ltd. f.o.b. shipping point on December 30, 2023, and received at Monty's office on January 2, 2024. Monty had excess inventory and incurred an additional $1,490 in storage costs due to delayed shipment in transaction (3) above. Monty incurred $2,120 for interest expense on inventory it purchased through delayed payment plans in fiscal 2023. (a) Based on the information provided above, calculate the amount of inventory that should appear on Monty's December 31, 2023 SFP. Amount of inventory $ In an annual audit of Monty Company Limited, you find that a physical inventory count on December 31, 2023, showed merchandise of $440,000. You also discover that the following items were excluded from the $440,000: 1. Merchandise of $61,800 is held by Monty on consignment from BonBon Corporation. 2. 3. 4. 6. 7. Merchandise costing $32,400 was shipped by Monty f.o.b. destination to XYZ Ltd. on December 31, 2023. This merchandise was accepted by XYZ on January 6, 2024. Merchandise costing $46,400 was shipped f.o.b. shipping point to ABC Company on December 29, 2023. This merchandise was received by ABC on January 10, 2024. Merchandise costing $73,900 was shipped f.o.b. destination from Wholesaler Inc. to Monty on December 30, 2023. Monty received the items on January 3, 2024. Merchandise costing $50,700 was shipped by Distributor Ltd. f.o.b. shipping point on December 30, 2023, and received at Monty's office on January 2, 2024. Monty had excess inventory and incurred an additional $1,490 in storage costs due to delayed shipment in transaction (3) above. Monty incurred $2,120 for interest expense on inventory it purchased through delayed payment plans in fiscal 2023. (a) Based on the information provided above, calculate the amount of inventory that should appear on Monty's December 31, 2023 SFP. Amount of inventory $
Expert Answer:
Answer rating: 100% (QA)
ANSWER To calculate the amount of inventory that should appear on Monty Company Limiteds December 31 ... View the full answer
Related Book For
Intermediate Accounting
ISBN: 978-0176509736
10th Canadian Edition, Volume 1
Authors: Donald Kieso, Jerry Weygandt, Terry Warfield, Nicola Young,
Posted Date:
Students also viewed these accounting questions
-
Entries for and Financial Statement Presentation of a Note Augustine Corporation borrowed $52,000 from the J.P. Morgan Chase Bank on June 1, 2023, on a 3-year, 8.7% note. Interest is paid annually on...
-
In an annual audit of Solaro Company Limited, you find that a physical inventory count on December 31, 2014, showed merchandise of $441,000. You also discover the following items were excluded from...
-
In an annual audit of Solaro Company Limited, you find that a physical inventory count on December 31, 2020, showed merchandise of $441,000. You also discover that the following items were excluded...
-
At the beginning of the year, Anna began a calendar-year business and placed in service the following assets during the year: Asset Date Acquired Cost Basis Computers 1/30 $28,000 Office desks 2/15...
-
Banking regulations require that the effective interest rate (APR or APY) be stated on all loan or investment constricts. Why?
-
Was Liberatore acting within the scope of his employment? Was the Church negligent in hiring and supervising him? Was the Church liable for his criminal acts?
-
Develop a brief answer for each of the following questions: 1. Is carrying value ever the same as market value? 2. What major advantage does a company that has positive free cash flow have over a...
-
The following securities are in Pascual Companys portfolio of long-term available for- sale securities at December 31, 2010. Cost 1,000 shares of Abel Corporation common stock ... $52,000 1,400 share...
-
D A | | V 56. P(x) = x4 + 3x3 - 16x- - 27x + 63, c = 3, -3 57-62 . Factor Theorem Show that the given value(s) of c are zeros of P(x), and find all other zeros of P(x). -57. P(x) = x3 + 2x2 - 9x- 18,...
-
Dry Quick (DQ) is a medium-sized, private manufacturing company located near Timmins, Ontario. DQ has a June 30 year-end. Your firm, Poivre & Sel (P&S), has recently been appointed as auditors forDQ....
-
A noncompetitive bid for Treasury bill auction provides Multiple Choice a) all noncompetitive bidders the same price. b) all competitive bidders the same quantity. c) all noncompetitive bidders...
-
An analysis of the balance sheet of Daphne Blake, Inc. revealed the following: Net Income $12,750 Depreciation expense 32,600 Gain on disposal of equipment 10,000 Decrease in accounts receivable...
-
first month of operations (Jan. 2021) completed the following selected transactions; Jan. 1 The owner, invested $ 175.000- cash in the business. Jan. 2 The owner borrowed $ 25.000- from the bank;...
-
Explain how you think story point fits into the agile mindset and manifesto. Reference
-
how does work locus of control influence your effectiveness as a manager?
-
Three entrepreneurs were looking to start a new brewpub near Sacramento, California, called Roseville Brewing Company (RBC). Brewpubs provide two products to customersfood fromthe restaurant segment...
-
Part A The Rippel Corporation manufactures electrical meters. For August, there were no beginning inventories of direct materials and no beginning or ending work in process. Rippel uses a JIT...
-
The Heese Restaurant Group manufactures the bags of frozen French fries used at its franchised restaurants. Last week, Heeses purchased and used 101,000 pounds of potatoes at a price of $ 0.70 per...
-
(EAIR annuity) Your lovely wife has decided to buy you a vacuum cleaner for your birthday (she always supports you in your hobbies). She called your best friend, a manager of a vacuum cleaner store,...
-
(EAIR annuity) You have two options of paying for your new dishwasher: You can either make a single payment of $400 today, or you can pay $70 for each of the next 6 months, with the first payment...
-
Explain how errors in ending inventory affect statements of earnings and statements of financial position. - Inventory errors can arise for a number of reasons, including incorrect counts of...
Study smarter with the SolutionInn App