Maurice Tutor

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Category > Management Posted 17 Jan 2018 My Price 5.00

Kevin Garnett of Celtic Co

Gross Profit Method You are called by Kevin Garnett of Celtic Co. on July 16 and asked to prepare a claim for insurance as a result of a theft that took place the night before. You suggest that an inventory be taken immediately. The following data are available.
Inventory, July 1 $ 38,000
Purchases—goods placed in stock July 1–15 90,000
Sales—goods delivered to customers (gross) 116,000
Sales returns—goods returned to stock 4,000
Your client reports that the goods on hand on July 16 cost $30,500, but you determine that this figure includes goods of $6,000 received on a consignment basis. Your past records show that sales are made at approximately 25% over cost. Garnett’s insurance covers only goods owned. Compute the claim against the insurance company.

 


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Maurice Tutor
(5)
Status NEW Posted 17 Jan 2018 11:01 PM My Price 5.00

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