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Unformatted text preview: Name: Date: Section: I-08.05 1 of 2 1 of 2 The various errors are analyzed below. A spreadsheet of beginning inventory included 35 Zing golf bags at a cost of $20 each. These particular bags were the nicest in the store, and the unit cost was actually $200. The error was the result of incorrect data entry into the spreadsheet. The ending inventory value was the result of a physical count on December 31, 20X8. The count failed to include 2,400 imprinted logo golf balls that were in the custody of employees who were going to be giving them away as promotional items at a New Year's day parade on January 1, 20X9. These balls cost $1.50 each. The company experienced a theft loss during 20X8. The theft consisted of 6 sets of Caldaway golf clubs that normally sell for $1,000 each, and provide a gross profit margin of 45%. The insurance company purchased replacement goods and delivered them to Southwest Golf Shop. These club sets were included in the year end physical inventory and valued at $1,000 each. and valued at $1,000 each....
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This note was uploaded on 02/29/2012 for the course ACCOUNTING 101 taught by Professor Hudack during the Spring '11 term at FIU.
- Spring '11