Comprising Retailing Procedures
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Unit 4 Individual project template |
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Internet sales |
  |   |
Net gain |
  |   |   | ||
|   |
Sales |
  400,000.00 |
  |   |
Gross profit |
  150,000.00 |
  |   |
|   |
Less sales discount |
             4,000.00 |
  |   |
less administrative expense |
    20,000.00 |
  |   |
|   |
Less sales returns |
      8,000.00 |
  |   |
Net gain |
  130,000.00 |
  |   |
|   |
Internet sales revenue |
  388,000.00 |
  |   |   |   |   |   |
|   |   |   |   |
Statement of proprietors equity |
  |   |   | |
Price of goods offered |
  |   |   |
Beginning proprietors equity |
    30,000.00 |
  |   | |
|   |
Beginning Inventory |
    20,000.00 |
  |   |
Add net gain |
  130,000.00 |
  |   |
|   |
add Purchases |
  250,000.00 |
  |   |
Ending proprietors equity |
  160,000.00 |
  |   |
|   |
less purchases returns |
      7,000.00 |
  |   |   |   |   |   |
|   |
less purchases discount rates   |
      3,000.00 |
  |
Balance sheet |
  |   |   | |
|   |
add freight in |
      8,000.00 |
  |   |
Cash |
  130,000.00 |
Liabilities |
  |
|   |
Goods available available |
  268,000.00 |
  |   |
add inventory |
    30,000.00 |
Owner equity |
  160,000.00 |
|   |
less ending inventory |
    30,000.00 |
  |   |
Total assets |
  160,000.00 |
Total Liabilities &lifier proprietors equity |
  160,000.00 |
|   |
Price of goods offered |
  238,000.00 |
  |   |   |   |   |   |
|   |   |   |   |   |   |   |   |   |
Gross profit |
  |   |   |   |   |   |   | |
|   |
Internet sales revenue |
  388,000.00 |
  |   |   |   |   |   |
|   |
less price of goods offered |
  238,000.00 |
  |   |   |   |   |   |
|   |
Gross profit |
  150,000.00 |
  |   |   |   |   |   |
|   |   |   |   |   |   |   |   |   |
References:
Harrison W. and Horngren C. (1992). Financial Accounting. Prentice-Hall series in accounting. Prentice Hall, 1992.
 
 
 
 
 
 
 
