: For the commercial company XYZ in year x2 we know that: (1) gross profit = €50,000; (2) Change in inventories is €30,000; and (3) Purchases of inventory = €180,000. Which of the following statements is correct? View
: Understanding the difference between cash and profit (questions 4 – 5): The ABC Company recognizes credit sales of €100,000. The cost of the goods sold is €60,000. Answer the following two questions: What is the effect of the transaction described above on the cash account? View
: For the remaining questions, please consider the following transactions that happened in The Dorchester Company Ltd. in 2015 (amounts in £000): · Credit sales amounted to 5,000 (nothing was paid by year-end). · Cash sales amounted to 3,000. · Purchases of inventory (on account) amounted to 10,000 (7,000 were paid by year-end). · Cost of goods sold amounted to 6,000. · Sales and administration expenses (all paid in cash) were 1,450. View
: Irwin Company obtained a five-year, €100,000 bank loan at the end of year x0. The principal had to be repaid in equal installments every December 31st starting in x1. The yearly interest rate is 4% and is also paid every December 31st. Please answer the following two questions: View
