oma0528 Posts: 3, Reputation: 1 New Member #1 Dec 20, 2007, 08:48 PM
Need to find ending inventory, gross profit and net income

Any formulas I can use to finish the rest of the problems that go with this one? They all vary in filling in the blanks.

Truly appreciate the help!

Sales.. . 60,000

Cost of goods sold
Merchandise inventory (beginning).. . 6,000
Total cost of merchandise purchases.. . 36,000

Merchandise inventory (ending).. .

Cost of goods sold.. . 34,050
Gross profit.. .

Expenses.. . 9,000

Net income (loss).. .
 ms180sx Posts: 64, Reputation: 6 Junior Member #2 Dec 20, 2007, 10:59 PM
I might be wrong, havent' done acct. in a few semseters.

begin inv + new purchases - cogs = ending inv which should be 7950
total sales - cogs= gross income ( 25950)
income- expenses = net income. ( 16950)

assuming all inventory was sold at constant markup cogs is ~ 56% of sales, therefore markup should be 44%..

I don't see a loss, I see a net gain.

hope this was helpful and correct.. lol
tim-
 mhela Posts: 1, Reputation: 1 New Member #3 Aug 22, 2012, 06:06 PM
How I will find the ending inventory without cost of good sold given?
And

How I will find the cost good sold without ending inventory given?
 paraclete Posts: 2,706, Reputation: 173 Ultra Member #4 Aug 22, 2012, 07:29 PM
Around and around and around we go, without knowing what information you do have it is difficult to answer your question and it is better to ask a new question than tack your question on an old question
 presentacion Posts: 1, Reputation: 1 New Member #5 Nov 14, 2012, 06:36 PM
sales--------------------------------------------------------------------------------------------60000 less cost of sales.. merchandise beg- 6000 +purchases 36000=cost of goods for sale 42000 -merchandise end 7950=34050 cost of sales then sales 60000-34050= gross profit 25950-expenses 9000=16950 the net income

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