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Nash Company uses the gross profit method to estimate inventory for monthly reporting purposes. Presented below is information for the month of May. Inventory,
Nash Company uses the gross profit method to estimate inventory for monthly reporting purposes. Presented below is information for the month of May. Inventory, May 1 $147,800 Purchases (gross) 637,400 Freight-in 31,000 Sales revenue 953,600 Sales returns 72.200 Purchase discounts 11,900 (a) Compute the estimated inventory at May 31, assuming that the gross profit is 25% of sales.
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Intermediate Accounting IFRS Edition
Authors: Donald E. Kieso, Jerry J. Weygandt, Terry D. Warfield
2nd Edition
1118443969, 978-1118443965
