Question
On May 31, 2020, Pharoah Company consigned 140 freezers, costing $500 each, to Whispering Winds Company. The cost of shipping the freezers amounted to $800
On May 31, 2020, Pharoah Company consigned 140 freezers, costing $500 each, to Whispering Winds Company. The cost of shipping the freezers amounted to $800 and was paid by Pharoah Company. On December 30, 2020, a report was received from the consignee, indicating that 70 freezers had been sold for $1,050 each. Remittance was made by the consignee for the amount due after deducting a commission of 4%, advertising of $280, and total installation costs of $390 on the freezers sold.
1) Calculate the inventory value of the units unsold in the hands of the consignee.
2) Calculate the profit for the consignor of the units unsold
3) Calculate the amount of cash that will be remitted by the consignee
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