CLASS PA-1

GROUP 1
Members
Individual
No. Name ID Score /10
1 Ngô Huyền Đan Thanh 31191023917 5.0
2 Nguyễn Khánh Vy 31191024294 1.0
3 Lê Trần Kim Ngân 31191025269 0.0
4 Lâm Nguyễn Hồng Hân 31191020816 5.0
E5-10B
Mutiple-step Income Statement

Krueger Company
INCOME STATEMENT
For the year ended December 31, 2017

Net sales 1,650,000

Cost of goods Sold 922,000
Gross Profit 728,000
Operating Expenses 647,000
Income from operations 81,000
Other revenues and gains
Interest revenues 20,000
Other Expense and losses
Interest expense 49,000
Loss or disposal of equipment 7,000 56,000 36,000
Net income 45,000

E5-20B
a)
Date Title Debit Credit
Apr-05 Inventory 30,000
Accounts payable 30,000
Apr-06 Inventory 800
Cash 800
Apr-07 Equipment 37,000
Accounts payable 37,000
Apr-08 Accounts payable 3,000
Inventory 3,000
Apr-15 Accounts payable 27,000
Inventory (27,000*2%) 540
Cash 26,460

b)
Date Title Debit Credit
May-05 Accounts payable 27,000
Cash 27,000

Good!
 One-step Income Statement

Krueger Company
INCOME STATEMENT
For the year ended December 31, 2017

Revenues
Net Sales 1,650,000
Interest Revenue 20,000
Total Revenues 1,670,000
Expenses
Cost of goods sold 922,000
Operating expenses 647,000
Interest expense 49,000
Loss or disposal of equipment 7,000
Total expenses 1,625,000
Net income 45,000
E5-17B

RINCON COMPANY
Cost of Goods Sold
For the year ending August 31
Cost of Goods Sold
Inventory, August 1 $35,000
Purchase $300,000
Sales Revenue 500,000 x
Less: Purchases Returns and Allowance $4,000
Sale Returns and Allowance 6,000 10,000 x
Net Purchase 790,000
Add: Freight-in 8,500
Freight- out 5,000
Cost of Goods Purchased 803,500
Cost of Goods available for sale 838,500
Less: Inventory, August 31 45,000
Cost of Goods sold $793,500

E5-11B
1. Sales returns and allowances 205
Account Receivable 205
2. True
3. A $130 sales discount was debited to Sales Revenue x
4. Inventory 300 x
Cash 300
E6-1B
1. This is correctly treated x
2. This goods is correctly treated
3. This gooods should be added in the inventory count x
4. This goods is correctly treated x
5. This goods should be deducted in the inventory count.
The correct inventory amount on December 31 = $47,000 x

E6-18B
a) November
COGS= COGP+EI-BI = $580,000 ( 600,000+120,000-140,000)
Gross profit= Sales revenue - COGS = $420,000( 1,000,000 - 580,000)
Gross profit rate = (420,000 *100) : 1,000,000 = 42% x
b) December
If the gross profit rate is 42% - Gross profit ( December ) = ( 1,200,00 *42): 100 = 504,000
COGS= Sales revenue - Gross profit = 696,000
EI = BI + COGS - COGP = 96,000 x
E6-9B

Cost Market Lower of Cost of

Market
Cameras
Minolta $900 $1,000 $900
Canon 960 930 930
Total 1860 1930

Light meters
Vivitar 1320 1440 1320
Kodak 1820 1610 1610
Total 3140 3050
Total inventory 5000 4980 4760

E6-4B
a) FIFO
Beginning inventory (20 x $120) $2,400
Purchases
July 12 (35 x $125) $4,375
July 19 (15 x $128) $1,920
July 26 (40 x $130) $5,200 $11,495
Cost of goods available for sale $13,895
Less: ending inventory (22 x $130) $2,860
Cost of goods sold $11,035
LIFO
Cost of goods available for sale $13,895
Less: ending inventory (22 x $120) $2,640
Cost of goods sold $11,255

b) FIFO
Sum of ending inventory and cost of goods sold $13,895
LIFO
Sum of ending inventory and cost of goods sold $13,895

The sum of ending inventory and cost of goods sold of FIFO and LIFO are equal.

Good!