Shown below is the current information for a company Calculate the estimated closing inventory at cost by using the retail method Do not enter dollar signs or commas in the input boxes Round the final answer to the nearest whole dollar At Cost At Retail Cost of Goods Sold Opening Inventory $2,500 $4,000 Purchases $35,300 $56,480 Cost of Goods Available for Sale $37,800 $60,480 Sales at Retail $45,360 Closing Inventory at Retail $15,120 Closing Inventory at Cost Answer Pants Retailers purchased $9,300 worth of pants from Runner Wear Supplies at the end of August 7 Since Pants Retailers has good cash reserves, the accountant took advantage of the early payment discount that Runner Wear offers Runner Wears invoice shows terms of 2 15, n 30 What is the latest date that Pants Retailers could pay the bill to take advantage of the discount Do not enter dollar signs or commas in the input boxes AnswerJanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember Answer a) Tip Hop Skipping Rope Retailers bought $18,900 worth of skipping ropes from Super Rope Wholesalers Ltd on December 15th Payment was due in January Prepare the journal entry for Tip Hop Skipping Rope Retailers Assume they use the perpetual inventory system Do not enter dollar signs or commas in the input boxes Date Account Title and Explanation DR CR Dec 15 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer b) Prepare the journal entry for Tip Hop Skipping Rope Retailers for the payment of $18,900 made to Super Rope Wholesalers Ltd on January 15th Date Account Title and Explanation DR CR Jan 15 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer a) Velcro Unlimited received a shipment of plastic sheets on May 15 The value of the plastic was $8,000, plus $80 of freight charges Prepare the journal entry to record the receipt of goods by Velcro Unlimited, assuming the payment for the inventory and freight will be made in June Assume they use the perpetual inventory system Do not enter dollar signs or commas in the input boxes Round your answers to the nearest whole number Date Account Title and Explanation DR CR May 15 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer b) The plastic sheets delivered to Velcro Unlimited were in the wrong colour After some negotiation, the manager agreed to keep the products with a 14 discount on the value of the inventory Prepare the entry on May 22 to record the purchase allowance (Assume all items were still in inventory) Date Account Title and Explanation DR CR May 22 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer c) Journalize the transaction for Velcro Unlimited when the payment is made on June 15 Date Account Title and Explanation DR CR Jun 15 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer On February 2, Food Wholesalers purchased $3,800 worth of dried fruit inventory and paid $90 for freight charges on account On February 17th, Food Wholesalers sold all of the dried fruit inventory to Marche Grocers for $6,080 on account As the bookkeeper for Food Wholesalers, journalize the transactions Assume they use the perpetual inventory system Do not enter dollar signs or commas in the input boxes Date Account Title and Explanation Debit Credit Feb 2 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer Purchased inventory on account Feb 17 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer Made sales on account Feb 17 AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense Answer Record COGS

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Shown below is the current information for a company. Calculate the estimated closing inventory at cost by using the retail method. Do not enter dollar

Shown below is the current information for a company. Calculate the estimated closing inventory at cost by using the retail method.

Do not enter dollar signs or commas in the input boxes. Round the final answer to the nearest whole dollar.

	At Cost	At Retail
Cost of Goods Sold
Opening Inventory	$2,500	$4,000
Purchases	$35,300	$56,480
Cost of Goods Available for Sale	$37,800	$60,480
Sales at Retail		$45,360
Closing Inventory at Retail		$15,120
Closing Inventory at Cost	Answer

Pants Retailers purchased $9,300 worth of pants from Runner Wear Supplies at the end of August 7. Since Pants Retailers has good cash reserves, the accountant took advantage of the early payment discount that Runner Wear offers. Runner Wears invoice shows terms of 2/15, n/30. What is the latest date that Pants Retailers could pay the bill to take advantage of the discount?

Do not enter dollar signs or commas in the input boxes. AnswerJanuaryFebruaryMarchAprilMayJuneJulyAugustSeptemberOctoberNovemberDecember Answer

a) Tip Hop Skipping Rope Retailers bought $18,900 worth of skipping ropes from Super Rope Wholesalers Ltd. on December 15th. Payment was due in January. Prepare the journal entry for Tip Hop Skipping Rope Retailers. Assume they use the perpetual inventory system.

Do not enter dollar signs or commas in the input boxes.

Date	Account Title and Explanation	DR	CR
Dec 15	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer

b) Prepare the journal entry for Tip Hop Skipping Rope Retailers for the payment of $18,900 made to Super Rope Wholesalers Ltd. on January 15th.

Date	Account Title and Explanation	DR	CR
Jan 15	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer

a) Velcro Unlimited received a shipment of plastic sheets on May 15. The value of the plastic was $8,000, plus $80 of freight charges. Prepare the journal entry to record the receipt of goods by Velcro Unlimited, assuming the payment for the inventory and freight will be made in June. Assume they use the perpetual inventory system.

Do not enter dollar signs or commas in the input boxes. Round your answers to the nearest whole number.

Date	Account Title and Explanation	DR	CR
May 15	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer

b) The plastic sheets delivered to Velcro Unlimited were in the wrong colour. After some negotiation, the manager agreed to keep the products with a 14% discount on the value of the inventory. Prepare the entry on May 22 to record the purchase allowance. (Assume all items were still in inventory).

Date	Account Title and Explanation	DR	CR
May 22	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer

c) Journalize the transaction for Velcro Unlimited when the payment is made on June 15.

Date	Account Title and Explanation	DR	CR
Jun 15	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer

On February 2, Food Wholesalers purchased $3,800 worth of dried fruit inventory and paid $90 for freight charges on account. On February 17th, Food Wholesalers sold all of the dried fruit inventory to Marche Grocers for $6,080 on account. As the bookkeeper for Food Wholesalers, journalize the transactions. Assume they use the perpetual inventory system.

Do not enter dollar signs or commas in the input boxes.

Date	Account Title and Explanation	Debit	Credit
Feb 2	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer
	Purchased inventory on account

Feb 17	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer
	Made sales on account

Feb 17	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense	Answer
	AnswerAccounts PayableAccounts ReceivableAccumulated DepreciationAdvertising ExpenseBank LoanCashCommon SharesCost of Goods SoldInsurance ExpenseInterest ExpenseInterest PayableInterest RevenueInventoryNotes PayablePrepaid InsurancePrepaid RentProperty, Plant & EquipmentRent ExpenseSalaries ExpenseSales DiscountSales Returns & AllowancesSales RevenueSupplies ExpenseTelephone ExpenseTravel ExpenseUnearned RevenueUtilities Expense		Answer
	Record COGS