Question

You are provided with the following information on Tapioca Resort Inn: Beginning inventory $40,000 Purchases $30,000...

You are provided with the following information on Tapioca Resort Inn: Beginning inventory $40,000 Purchases $30,000 Ending inventory $55,000 Employee meals $1,000 Transfer to Food & Beverage Department $1,500 The goods are sold for $30,000. However, upon a deeper inspection, you noticed that your ending inventory should have been $53,000 instead of $55,000. Based on the available information, you calculate that the profit for this hotel was:

Understated by @2,000

Overstated by $2,000

Overstated by $7,000

Understated by $7,000

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
How do I complete this income statement? The following information pertains to a Hotel for the...
How do I complete this income statement? The following information pertains to a Hotel for the year 2016: Net rooms revenue: $1,050,000 Food and beverage revenue: $650,000 Telephone: revenue: $45,000; cost of sales: $15,000; payroll: $18,000 F&B Info: Beg. Inv = $75,000; End. Inventory = $55,000; Purchases =$190,000 There were no employee meals or complimentary meals given. F&B Payroll: $200,000; F&B Other Expense: $125,000 Maintenance payroll: $75,000; other expense: $90,000 Rooms payroll: $150,000; other rooms expense: $120,000 A&G Payroll: $105,000;...
The following information are offered to you for X Company Account Name 2019 2018 Inventory 65,000...
The following information are offered to you for X Company Account Name 2019 2018 Inventory 65,000 50,000 Accounts payable         65,000 55,000 Other information: ·         COGS at 2019 is $35,000. ·         Cash receipts from customers at 2019 is $95,000 ·         Cash paid for operating expenses at 2019 is $ 30,000. Using direct method, the net cash flows from operations are: Select one: a. $25,000 b. $40,000 c. $30,000 d. $65,000 e. All answers are wrong
Sheffield Inc. has provided you with the following information. This company purchases its inventory from a...
Sheffield Inc. has provided you with the following information. This company purchases its inventory from a supplier for cash and has only cash sales. Sheffield uses the average cost formula in a perpetual inventory system. Increased competition has recently reduced the price of the product. Date Explanation Units Unit Cost Unit Price Apr. 1 Beginning inventory 50 $78 6 Purchases 110 89 8 Sales (130 ) $120 15 Purchases 120 68 20 Sales (120 ) 102 27 Purchases 20 59...
Question 1 Activity Based Costing for Kota Mills (25 marks) Kota Mills supply Divine Denim with...
Question 1 Activity Based Costing for Kota Mills Kota Mills supply Divine Denim with the organic denim used in their production. After discussions with Helen about the service she was getting from Good Numbers, the manager of Kota Mills decided to use Good Numbers to assist with their management decision making. Kota Mills produces three different weights of denim using two departments. In Department 1, machines weave the cloth. In Department 2 the cloth is dyed a variety of colours....
Please read the article and answear about questions. Determining the Value of the Business After you...
Please read the article and answear about questions. Determining the Value of the Business After you have completed a thorough and exacting investigation, you need to analyze all the infor- mation you have gathered. This is the time to consult with your business, financial, and legal advis- ers to arrive at an estimate of the value of the business. Outside advisers are impartial and are more likely to see the bad things about the business than are you. You should...
Please answer the following Case analysis questions 1-How is New Balance performing compared to its primary...
Please answer the following Case analysis questions 1-How is New Balance performing compared to its primary rivals? How will the acquisition of Reebok by Adidas impact the structure of the athletic shoe industry? Is this likely to be favorable or unfavorable for New Balance? 2- What issues does New Balance management need to address? 3-What recommendations would you make to New Balance Management? What does New Balance need to do to continue to be successful? Should management continue to invest...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT