Oh! Wow!Markets, Inc, rejects a shipment of turkey that does not conform to its contract with Poultry Processing Corporation, but is unable to obtain instructions from the seller. Oh! Wow! Marketscan
a. destroy the goods.
b. cure the goods to make them conform to the contract.
c. retain the goods without paying for them.
d. reship or store the goods for the seller.
D
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All of the following are relevant to the investigation of leadership in the now classic Haire, Ghiselli, and Porter study except:
A. capacity for leadership and initiative. B. communication skills. C. sharing information and objectives. D. participation.
When companies sell on account, what is a primary goal?
A) To grant credit to all applicants and increase sales B) For the associated costs to decrease over time C) To write off bad debts D) For the benefits to outweigh the costs
Kevin Montgomery Retail seeks your assistance to develop cash and other budget information for May, June, and July. At April 30, the company had cash of $5,500, accounts receivable of $437,000, inventories of $446,250, and accounts payable of $133,055. The budget is to be based on the following assumptions:SALES:Each month's sales are billed on the last day of the month. Customers are allowed a 3% discount if payment is made within 10 days after the billing date. Receivables are recorded in the accounts at their gross amounts (not net of discounts). 55% of the billings are collected within the discount period; 30% are collected by the end of the month; 9% are collected by the end of the second month; and 6% turn out to be uncollectible.PURCHASES:The marketing, general, and administrative
expenses and 60% of all purchases of merchandise are paid in the month purchased, with the remainder of merchandise purchases paid in the following month. The number of units in each month's ending inventory is equal to 125% of the next month's sales (units). The cost of each unit of inventory is $30. Marketing, general, and administrative expenses, of which $3,000 is depreciation, are equal to 15% of the current month's sales.Actual and projected sales are as shown below: Dollars Units March$472,000 11,800 April$484,000 12,100 May$476,000 11,900 June$456,000 11,400 July$480,000 12,000 August$480,000 12,200 What are the budgeted merchandise purchases (in dollars) for June? A. $319,500. B. $364,500. C. $375,000. D. $342,000.
On January 1, 2017, Carly Fashions Inc. enters into a contract with a regional retail company to provide 500 blouses for $20,000 over the next 10 months. On September 1, 2017, after 400 of the blouses had been delivered (50 blouses per month), the contract is modified.
? Required: Fifty blouses were delivered each month for the first 8 months of 2017. Prepare Carly Fashions's monthly journal entry to record revenue.Assume that the contract is modified on September 1 to sell, once the original 500 blouses are delivered, an additional 100 blouses at $35 per blouse, which is the stand-alone selling price on October 1, 2017. The additional blouses are to be delivered in November. Prepare the November journal entry to record the contract modification.Assume instead that the contract is modified on September 1 to alter the price of the additional 100 blouses to $35 per blouse, which is the stand-alone selling price on October 1, 2017. Assume the blouses are delivered evenly on September 1 and October 1, 2017. Prepare the journal entries for September and October to record this contract modification. What will be an ideal response?