Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On May 3, 2017, Buffalo Company consigned 100 freezers, costing $ 510 each, to Remmers Company. The cost of shipping the freezers amounted to $

On May 3, 2017, Buffalo Company consigned 100 freezers, costing $ 510 each, to Remmers Company. The cost of shipping the freezers amounted to $ 920 and was paid by Buffalo Company. On December 30, 2017, a report was received from the consignee, indicating that 50 freezers had been sold for $ 740 each. Remittance was made by the consignee for the amount due after deducting a commission of 7%, advertising of $ 180, and total installation costs of $ 310 on the freezers sold. (Round answers to 0 decimal places, e.g. 5,275.) (a) Compute the inventory value of the units unsold in the hands of the consignee.

Inventory value

$ enter the inventory value in dollars

(b) Compute the profit for the consignor for the units sold.

Profit on consignment sales

$ enter the profit on consignment sales in dollars

(c) Compute the amount of cash that will be remitted by the consignee.

Remittance from consignee

$ enter the amount of cash that will be remitted by the consignee rounded to 0 decimal places

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

Financial And Managerial Accounting The Basis For Business Decisions

Authors: Jan Williams, Sue Haka, Mark S Bettner

13th Edition

0072942827, 978-0072942828

More Books

Students also viewed these Accounting questions