On June 15, 2019, Robinson Company received a shipment of merchandise from Taytay Company with a selling price of P100,000. The consigned goods cost Taytay Company P70,000. Freight charges of P5,000 had been paid by Taytay Company for the shipment. The terms of the consignment are the following: 2, n/30; 15% commission based on gross sales Cash discounts taken by customers, expenses applicable to the goods on consignment and any form of cash advanced to the consignor are deductible from the remittance by the consignee. Robinson Company advanced Robinson Company advanced P10,000 to Taytay Company upon receipt of the shipment. An expense related to sold units of P3,500 was paid by Robinson Company. By June 2019, 80% of the shipment wad been sold, and 90% of the resulting accounts receivable had been collected, all within the discount period. Remittance was made on June 30, 2019. 6. The amount remitted by Robinson on June 30, 2019 amounted to: P56,260 d. P64,100 a. P51,600 с. b. Р56,100 7. The net income of the consignment amounted to: P4,100 d. P4,260 a. P1,180 b. Р3,260 C. 8. The inventory on consignment amounted to: a. P14,000 b. P15,000 C. P15,700 d. P21,000

On June 15, 2019, Robinson Company received a shipment of merchandise from Taytay Company with a selling price of P100,000. The consigned goods cost Taytay Company P70,000. Freight charges of P5,000 had been paid by Taytay Company for the shipment. The terms of the consignment are the following: 2, n/30; 15% commission based on gross sales Cash discounts taken by customers, expenses applicable to the goods on consignment and any form of cash advanced to the consignor are deductible from the remittance by the consignee. Robinson Company advanced Robinson Company advanced P10,000 to Taytay Company upon receipt of the shipment. An expense related to sold units of P3,500 was paid by Robinson Company. By June 2019, 80% of the shipment wad been sold, and 90% of the resulting accounts receivable had been collected, all within the discount period. Remittance was made on June 30, 2019. 6. The amount remitted by Robinson on June 30, 2019 amounted to: P56,260 d. P64,100 a. P51,600 с. b. Р56,100 7. The net income of the consignment amounted to: P4,100 d. P4,260 a. P1,180 b. Р3,260 C. 8. The inventory on consignment amounted to: a. P14,000 b. P15,000 C. P15,700 d. P21,000

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter9: Current Liabilities And Contingent Obligations

Section: Chapter Questions

Problem 1MC: The balance in Ashwood Companys accounts payable account at December 31, 2019, was 1,200,000 before...

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