44. Retsu Cafe sells gift cards in $25 increments. Based on…
44. Retsu Cafe sells gift cards in $25 increments. Based on experience, Restu estimates that 30% of the gift cards will not be redeemed. During 2025, the restaurant had total gift card sales of $8,000, of which $2,240 were redeemed. How much of Restu’s sales revenue in 2025 is attributable to breakage?
Read Details42. A flash flood swept through FMB, Inc.’s warehouse on May…
42. A flash flood swept through FMB, Inc.’s warehouse on May 1. After the flood, FMB’s accounting records showed the following: Inventory, January 1 $ 45,000 Purchases, January 1 through May 1 $ 145,000 Sales, January 1 through May 1 $ 200,000 Inventory not damaged by flood $ 60,000 Gross profit percentage on sales 45% What amount of inventory was lost in the flood?
Read Details45. In January of 2025, Yager Corporation purchased a minera…
45. In January of 2025, Yager Corporation purchased a mineral mine for $5,100,000 with removable ore estimated by geological surveys at 2,000,000 tons. The property has an estimated value of $300,000 after the ore has been extracted. The company incurred $1,500,000 of development costs preparing the mine for production. In 2025, 600,000 tons were removed, and 480,000 tons were sold. What amount of depletion should Yager expense for 2025?
Read Details48. McCool Co. accepted delivery of merchandise which it pur…
48. McCool Co. accepted delivery of merchandise which it purchased on account. As of December 31, 2024, McCool had recorded the transaction, but did not include the merchandise in its inventory. The effect of this on its financial statements for December 31, 2025, would be
Read Details