course hero 16

course hero 16 - A \$15,375 B \$16,125 C \$16,388 D \$17,625 Hi...

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Business, Accounting/Business Analysis/Financial Reporting - Year 3 Sales Cost - TV Inc On May 1, 2007, TV Inc. consigned 80 TVs to Al's TV. The TVs cost \$270. Freight on the shipment paid by Al's TV was \$600. On July 10, TV Inc. received an account sales and \$12,900 from Al's TV. Thirty TVs had been sold and the following expenses were deducted: Freight \$600 Commission (20% of sales price) ? Advertising 390 Delivery 210 The total sales price of the TVs sold by AL's TV was
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Unformatted text preview: A) \$15,375. B) \$16,125. C) \$16,388. D) \$17,625. Hi, Please see the response to your posting as below: Let the total sales price be X Commission on sales =20% *X= 0.2X Amount Received by TV Inc. on account sales =\$12900 Therefore, 12900 = X- (Freight +Commission (20% of sales price) +Advertising +Delivery) 12900 = X -(600+0.2X+390+210) 12900 =0.8X -1200 0.8X = 14100 X =14100/0.8 =17625 Answer is D Hope this helps you. Thank you,...
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