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Presented here are selected transactions for Alpine Tours Inc. during September of the current year. Alpine Tours uses a perpetual inventory system. Alpine Tours estimates
Presented here are selected transactions for Alpine Tours Inc. during September of the current year. Alpine Tours uses a perpetual inventory system. Alpine Tours estimates a return rate of 5% based on past experience.
Sept. | 2 | Purchased equipment on account for $62,300, terms n/30, FOB destination. | ||
3 | Freight charges of $960 were paid by the appropriate party on the September 2 purchase of equipment. | |||
4 | Purchased supplies for $4,400 cash. | |||
6 | Purchased inventory on account from Winterholt Company at a cost of $68,300, terms 1/15, n/30, FOB shipping point. | |||
7 | Freight charges of $1,800 were paid by the appropriate party on the September 6 inventory purchase. | |||
8 | Returned damaged goods costing $4,900 that were originally purchased from Winterholt Company on September 6. Received a credit on account. | |||
9 | Sold goods costing $14,300 to Fischer Limited for $21,400 on account, terms n/30, FOB destination. | |||
10 | Freight charges of $410 were paid by the appropriate party on the September 9 sale of inventory. | |||
17 | Received the balance due from Fischer. | |||
20 | Paid Winterholt Company the balance due. | |||
21 | Purchased inventory for $6,000 cash. | |||
22 | Sold inventory costing $21,600 to Kun-Tai Inc. for $24,300 on account, terms n/30, FOB shipping point. | |||
23 | Freight charges of $400 were paid by the appropriate party on the September 22 sale of inventory. | |||
28 | Kun-Tai returned goods sold for $1,100 that cost $760. The merchandise was restored to inventory. |
b) Determine Alpine Tourss sales and cost of goods sold for September.
c) Calculate Alpine Tourss gross profit as a dollar amount and the gross profit margin as a percentage. (Round gross profit margin to 1 decimal place, e.g. 15.2%.)
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