Extracted text: Problem 12: Miss Paki Poot, the bookkeeper of "Mura Lang Bavad Enterprises" has reported the balances of the following accounts on December 31, 2020 at the end of its accounting period. (Gross profit rate is 15% base on sales) Sales Purchases 634,000 478,000 339,000 P Merchandise Inventory, end (physical count) Accounts Receivable 150,000 During your conduct of the cut-off test, you gathered the following information: Transactions related to Sales Date Items 1. Shipped Received Jan. 1, 2021 Jan. 1, 2021 Remarks Terms F.O.B Shipping Point F.O.B Destination F.O.B Shipping Point F.O.B Destination Dec. 31, 2020 Dec. 25, 2020 Dec. 30, 2020 Dec. 30, 2020 Amount 6,000 Recorded as sales in January 15,000 Recorded as sales in December 10,000 20,000 Not recorded as sales in December 25,000 Recorded as sales in December 9,000 Recorded as sales in January 2. 3. Dec. 31, 2020 Recorded as sales in December 4. Jan. 2, 2021 Jan. 4, 2021 Jan. 1, 2021 Transactions related to Purchases 5. F.O.B Destination Dec. 26, 2020 6. F.O.B Shipping Point Jan. 1, 2021 Date Shipped Dec. 30, 2020 Dec. 1, 2020 Jan. 1, 2021 Dec. 31, 2020 Dec. 31, 2020 Received Dec. 31, 2020 Dec. 30, 2020 Jan. 1, 2021 Remarks 12,000 Recorded as purchases in January 18,000 Recorded as purchases in December 5,000 Recorded as purchases in December 15,000 Recorded as purchases in December 10,000 Recorded as purchases in January 20,000 Not recorded as purchases in Items Amount Terms F.O.B Destination F.O.B Shipping Point F.O.B Shipping Point F.O.B Destination F.O.B Shipping Point 7. 8. 9. Jan. 2, 2021 Jan. 1, 2021 10. 11. 12. F.O.B Destination Dec. 31, 2020 Dec. 31, 2020 December 35. Compute the CORRECT balances of Sales. 36. Compute the CORRECT balances of Purchases. 37. Compute the CORRECT balances of Merchandise Inventory, December 31 account. 38. Compute the CORRECT balances of Accounts Receivables. |