contestada

A firm just made a $1,000,000.00 sale to a retail chain. The firm will be 50.00% in cash today, and then pay the remainder in 30 days (a receivable for the firm). The firm fills the sale with $400,000.00 in inventory. Consider how an accountant will handle this transaction.

Respuesta :

norvysgonzalez

Answer:

Record #1

Cash $500,000.00

Accounts Receivables $500,000.00

                            Sale                                $1,000,000.00

Record #2

Cost of Goods                 $1,000,000.00

Inventory                                                    $400,000.00

Gain on sales                                             $600,000.00

Explanation:

The firm has a Gain on sales for  $600,000.00 because of  their inventory cost  $400,000.00 but they sold it by $1,000,000.00

Otras preguntas

Q&A Education