n the year ended February 2, 2019, Ortiz Industries reported cost of goods sold (before shrinkage) of $17.2 billion; February 2, 2019, inventory of $10.3 billion; and ending inventory for the previous year (February 3, 2018) of $9.8 billion.

Required:

If the cost of inventory purchases was $18.2 billion, what was the cost of shrinkage during the year ended February 2, 2019? (Enter your answer in billions rounded to 1 decimal place.)

Cost of Shrinkage

billion

Assume Andersons General Store bought, on credit, a truckload of merchandise from American Wholesaling costing $24,500. If Andersons paid National Trucking $800 cash for transportation, immediately returned goods to American Wholesaling costing $1,200, and then paid American Wholesaling within the 2/30, n/60 purchase discount period. How much did this inventory cost Andersons? Assume Andersons uses a perpetual inventory system.

Inventory Cost

During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows:

June 3	Purchased goods for $4,500 from Diamond Incorporated with terms 2/12, n/45.
June 5	Returned goods costing $1,300 to Diamond Incorporated for credit on account.
June 6	Purchased goods from Club Corporation for $1,200 with terms 2/12, n/45.
June 11	Paid the balance owed to Diamond Incorporated.
June 22	Paid Club Corporation in full.

Required:

Assume that Ace uses a perpetual inventory system and that the company had no inventory on hand at the beginning of the month. Calculate the cost of inventory as of June 30. (Do not round intermediate calculations. Round your answer to 2 decimal places.)

cost of Inventory:

During the month of June, Ace Incorporated purchased goods from two suppliers. The sequence of events was as follows:

June 3	Purchased goods for $7,300 from Diamond Incorporated with terms 2/10, n/30.
June 5	Returned goods costing $2,700 to Diamond Incorporated for credit on account.
June 6	Purchased goods from Club Corporation for $2,600 with terms 2/10, n/30.
June 11	Paid the balance owed to Diamond Incorporated.
June 22	Paid Club Corporation in full.

Required:

Prepare journal entries to record the transactions, assuming Ace records discounts using the gross method in a perpetual inventory system. (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first account field.)