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Compute the Missing Amounts

Question 177

Essay

Compute the missing amounts.
 Miami Company  Orlando Company  Sales $200,000(D) Cost of Goods Sold  Beginning Inventory (A)60,000 Purchases and Freight-In 118,000(E) Cost of goods available for sale (B)180,000 Ending inventory 4,0004,000 Cost of goods sold 120,000( F) Gross Margin 80,000224,000 Selling and Administrative Expenses (C)170,000 Operating Income 24,000(G)\begin{array} { | l | c | c | } \hline & \text { Miami Company } & \text { Orlando Company } \\\hline \text { Sales } & \$ 200,000 & ( \mathrm { D } ) \\\hline \text { Cost of Goods Sold } & & \\\hline \text { Beginning Inventory } & ( \mathrm { A } ) & 60,000 \\\hline \text { Purchases and Freight-In } & 118,000 & ( \mathrm { E } ) \\\hline \text { Cost of goods available for sale } & ( \mathrm { B } ) & 180,000 \\\hline \text { Ending inventory } & 4,000 & 4,000 \\\hline \text { Cost of goods sold } & 120,000 & ( \mathrm {~F} ) \\\hline \text { Gross Margin } & 80,000 & 224,000 \\\hline \text { Selling and Administrative Expenses } & ( \mathrm { C } ) & 170,000 \\\hline \text { Operating Income } & 24,000 & ( \mathrm { G } ) \\\hline\end{array}

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A)124,000-118,000 = 6,000
B)124,000 120...

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