Required information PA6-3 (Algo) Recording Sales with Discounts and Estimated and Actual Returns, and Analyzing Gross Profit Percentage [LO 6-4, LO 6-5] [The following information applies to the questions displayed below. Kelly Creations is a wholesaler of hair supplies, Kelly Creations uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis: a. Sold merchandise for cash (cost of merchaedise $33,477 ). b. Received merchandise returned by customers as unsatisfactory (but in perfect condition) for cashirefund (original cost of nerchandise 5350 ). c. Sold merchandise (costing $8,455 ) to a custoeser on account with terms n/60. d. Collected half of the balance owed by the custoner in (c). e. Granted a partial allowance, relating to credit sales the custoeer in (c) had not yet paid. f. Anticipate further roturns of merchandise (costing $2% ) after year-end froe sales nade during $59,520 the year. PA6-3 (Algo) Part 2 2. Compute the gross profit percentage. (Round your answer to 1 decimal ploce.) Required information PA6-3 (Algo) Recording Sales with Discounts and Estimated and Actual Returns, and Analyzing Gross Profit Percentage [LO 6-4, LO 6-5] [The following information applies to the questions displayed below.] Kelly Creations is a wholesaler of hair supplies. Kelly Creations uses a perpetual inventory system. The following transactions (summarized) have been selected for analysis: 0. Sold aerchandiso for casti. (cost of nerchandise 533,477). b. Recedved merchandise, returned by customers as unsintisfactory (but in perfect condition) fort. cash cefund (original cost, of merchandi fe $350 ). C. Sold merchandise. (costing \$8,455) to a customer on account with tierna n/6a. d. Collectod half of the balance owed by the custoen in (c) e. Granted a partial allouance relating ta credit salos che costoner in (c) had not yet paid. f. Anticipate further returns inf merchandise (costing $270 ) after year-end from salosiade during 559,520 the year. PA6-3 (Algo) Part 3 3. Prepare journal entries to record transactions f(0) - (h). (If no entry is required for a transaction/event, select "No Journal Entry Required" in the first occount field.) PA6-3 (Algo) Recording Sales with Discounts and Estimated and Actual Returns, and Analyzing Gross Profit Percentage [LO 6-4, LO 6-5] [The following information applles to the questions displayed below] Kelly Creations is a wholesaler of hair supplies. Kelly Creations uses a perpetual inventory system. The following transactions (summatized) have been selected for analysis: a. Sold merchandise for sash (cost of nerchandise. 533,477 ). b. Rocoived merchandise returned by custoners as unsatisfactory (but in perfect condition) for kash refund (orfginal cost of merchandise 5350 ). c. Sold eerchandise (costing $5,455 ) to a custoner on account with teces n/60. d. collected half of the balance owed by the custoner in (c). c. Granted a partial allowarice relating to credit sales the customer in (c) had not yet paid. f. Anticipate further returns of serchandise (costing \$270) after year-end fron sales nade during. the year. PA6-3 (Algo) Part 4 4. Kelly Creations is considering a contract to sell merchandise to a hair salon chain for $41,000. This meichandise will cost Kelly Creations $26,900. What would be the increase (or decrease) to Kelly Creations gross profit and gross profit percentage? (Round "Gross Profit Percentage" to 1 decimal place.)
