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Question 1:
How much is the amount of "Cost of Goods Sold" to be reported in the 2015 Statement of comprehensive income assuming the company’s policy is to charge loss on inventory write-down to
COST OF GOODS SOLD
and charge loss on inventory write-down to
OTHER EXPENSE, respectively.
Question 2:
How much is the amount of "Cost of Goods Sold" to be reported in the 2016 Statement of comprehensive income?
Extracted text: Johann Company provided the following information for 2015 and 2016: 2015 2016 Beginning inventory - at cost Beginning inventory - at net realizable value Purchases 200,000 140,000 800,000 60,000 10,000 300,000 180,000 300,000 180,000 900,000 40,000 Transportation In Purchase discount lost Ending inventory - at cost Ending inventory - at net realizable value 400,000 380,000