MCP 3-1

GPM (Sales) Total Amount

BI 6,000,000 Sales 30,000,000
NP 20,000,000 Cost 21,000,000
Tgas 26,000,000 GP 9,000,000
COGS 21,000,000
EI 5,000,000 (Loss)

MCP 3-2
BI 51,600 GPM (Sales) Total Amount
NP 368,000 Sales 574,400
PR -11,200 Cogs 344,640
PD -5,800 GP 229,760
Freight In 3,800
TGAS 406,400
COGS 344,640
EI 61,760
NP FOB SP -2,000
59,760 (Loss)

MCP 3-3
BI 55,000 GPM (Cost) Total Amount
NP 46,000 Sales 105,000
TGAS 101,000 Cogs 84,000
Cogs 84,000 GP 21,000
EI 17,000
-7,500
24,500 (Loss)

MCP 3-4
Bi 1,280,000
NP 5,640,000 7,200,000
TGAS 6,920,000 1,400,000
COGS 5,160,000
EI 1,760,000 Total Sales 8,600,000
1,440,000 Cogs 5,160,000
 320,000 GP 3,440,000

E 3-1
2020 GPM (Sales)
Net Sales 800,000
Cogs 560,000
GP 240,000

BI 180,000 (200,000*90%) 2021 GPM (Sales)

NP 100,000 Sales 320,000
Freight in 4,000 Cogs 224,000
PR -6,000 GP 96,000
Tgas 278,000
Cogs 224,000
EI 54,000
Cost MI to Showroom -8,000
46,000 (Loss)

E 3-2
2020 2020 GPM (Sales)
BI 0 Sales 3,860,000
NP 0 Cogs 3,049,400
Tgas 4,069,400 GP 810,600
Cogs 3,049,400
EI 1,020,000
2021 2021 GPM (Sales)
BI 1,020,000 Sales 4,080,000
NP 0 Cogs 3,100,800
Tgas 5,177,000 GP 979,200
Cogs 3,100,800
EI 2,076,200

Total Cost
Undamage MI 91,200 120,000 * 76%
Damage MI 60,800 80,000 * 76%

NRV
Undamage MI 91,200 0 *Since wla namng sinabing NRV sa UNDAMAGE so ung am
Damage MI 60,800 18,000 ung ialalgay natin den sa damage meron daw 18,000 na NR
Undamage MI 91,200 na sya, then dito sa table na ito ggmit tau ng LCNRV (Lowe
Damage MI 18,000 determined lng sa dalawa kung anong mas mababa den un
Total Cost Un/Damage 109,200
To know the LOSS:
EI 2,076,200
Total Cost Un/Damage 109,200
Total Loss 1,967,000

E 3-3
2021 GPM (Cost) Total Amount
BI 196,750 (143,850 + 52,900) Sales 753,800
NP 487,500 Cost 497,508
Tgas 684,250 GP 256,292
Cost of Sale 497,508 Computation:
EI 186,742 (Loss) 753,800 x 66% = 497,508
753,800 x 34% = 256,292

E 3-4
RM BI 60,000
P 230,000 (200k + 30k FI) Sales 546,750
DMAU 290,000 Cos 405,000
RM EI 120,000 GP 141,750
DM 170,000
DL 160,000 Formula:
MO 100,000 (160k ÷ 160%) 546,750 ÷ 135% = 405,000
TMC 430,000 405,000 x 35% = 141,750
WIP BI 200,000
TCWIP 630,000
WIP EI 265,000 (Loss)
CGM 365,000
FG BI 280,000
CGAS 645,000
FG EI 240,000
COGS 405,000

E 3-5
Ending inventory at retail:
Conventional RI Cost Retail
BI 1,300,000 2,600,000
P 18,000,000 29,200,000
Freight In 400,000 0
PR -600,000 -1,000,000
PA -300,000 0
Dep. TI 400,000 600,000
Net Markup 0 600,000
Gas-conservative 19,200,000 32,000,000
Net Markdowns -2,000,000
GAS - average 19,200,000 30,000,000
Less: Net Sales
Sales 24,700,000
Sales returns -350,000
Employee Discount 600,000
Loss from breakage 50,000 25,000,000
Ending inventory at retail 5,000,000

Cost Ratio:
GAS - conservative at cost 19,200,000
Divide by: GAS - conservative at retail 32,000,000
Conservative cost ratio 60%

GAS - average at cost 19,200,000

Divide by: GAS - average at retail 30,000,000
Average cost ratio 64%

GAS - average at cost 19,200,000

Less: BI (cost) 1,300,000
GAS - FIFO at cost 17,900,000
Divided by: GAS-FIFO at retail
GAS-average at retail 30,000,000
Less: BI (retail) 2,600,000 27,400,000
FIFO cost ratio 0.65328467153285
or 65.3284672%

Ending Inventory at cost:

Ending Inventory at retail 5,000,000
Multiplied by: Conservative cost ratio 60%
Ending Inventory at conservative cost 3,000,000.00

Ending Inventory at retail 5,000,000

Multiplied by: Average cost ratio 64%
Ending Inventory at average cost 3,200,000.00

Ending Inventory at retail 5,000,000

Multiplied by: FIFO cost ratio 65.33%
Ending Inventory at FIFO cost 3,266,423.36
E 3-6
Ending inventory at retail:
Conventional RI Cost Retail
BI 440,000 800,000
P 4,500,000 7,400,000 (4,500,000 + 2,900,000)
Freight In 100,000
PR -240,000 -350,000
Markup 0 250,000
Markup Cancelletions 0 -100,000
Gas-conservative 4,800,000 8,000,000
Markdown 0 -600,000
Markdown Cancellations 0 100,000
GAS - average 4,800,000 7,500,000
Less: Net Sales
Sales 6,500,000 Sales 6,500,000
Sales returns -500,000 Sales returns -500,000
Employee Discount 200,000 Ending inventory at retail
Theft and other losses -100,000 6,100,000
Ending inventory at retail 1,400,000

Cost Ratio:
GAS - conservative at cost 4,800,000
Divide by: GAS - conservative at retail 8,000,000
Conservative cost ratio 0.6 60%

GAS - average at cost 4,800,000

Divide by: GAS - average at retail 7,500,000
Average cost ratio 0.64 64%

GAS - average at cost 4,800,000

Less: BI (cost) 440,000
GAS - FIFO at cost 4,360,000
Divided by: GAS-FIFO at retail
GAS-average at retail 7,500,000
Less: BI (retail) 800,000
FIFO cost ratio 6,700,000
0.65074626865672 65.07%

Ending Inventory at cost:

Ending Inventory at retail 1,400,000 Ending Inventory at retail
Multiplied by: Conservative cost ratio 60% Multiplied by: Conservative cost ratio
Ending Inventory at conservative cost 840,000 Ending Inventory at conservative cost

Ending Inventory at retail 1,400,000 Ending Inventory at retail

Multiplied by: Average cost ratio 64% Multiplied by: Average cost ratio
Ending Inventory at average cost 896,000 Ending Inventory at average cost

Ending Inventory at retail 1,400,000 Ending Inventory at retail

Multiplied by: FIFO cost ratio 65.07% Multiplied by: FIFO cost ratio
Ending Inventory at FIFO cost 910,000 Ending Inventory at FIFO cost

MCP 3-5
BI 375,000 Beg. AR 265,000
P 1,385,000 Add:Collection AR 2,115,000
TGAS 1,760,000 Less: End AR -175,000
COGS 1,652,400 Credit Sale 2,205,000
EI 107,600 Add: Cash Sale 225,000
SV -5,000 Total Sale 2,430,000
Loss 102,600
Sale 2,430,000
COS 1,652,400
GP 777,600

MCP 3-6
RM 90,000
P 400,000
Freight In 15,000
DM 505,000
DL 220,000
MO 165,000 (220,000 × 75%)
TMC 890,000 Sale 1,200,000
WIP BI 185,000 Cos 780,000
TC WIP 1,075,000 GP 420,000
WIP EI -210,000
CGM 865,000
FG BI 220,000
CGAS 1,085,000
FI EI -225,000
CGS 860,000
Cos 780,000
Loss 80,000
MCP 3-7
Average RI Cost Retail
BI 2,000,000 3,000,000
NP 10,600,000 14,000,000
Markup 1,600,000
Markdown -600,000
Total 12,600,000 18,000,000

Less: Net Sales

Sales 12,000,000
Shoplifting Losses -400,000
Shrinkage -600,000 11,000,000
Ending inventory at retail 7,000,000

Cost Ratio:
GAS - average at cost 12,600,000
Divide by: GAS - average at retail 18,000,000
Average cost ratio 0.7 70%

Ending Inventory at cost:

Ending Inventory at retail 7,000,000
Multiplied by: Average cost ratio 70%
Ending Inventory at average cost 4,900,000

BI 2,000,000
P 10,600,000
Tgas 12,600,000
Ending Inv. 4,900,000
Cogs 7,700,000

MCP 3-8
Average RI Cost Retail
BI 440,000 800,000
P 4,500,000 7,400,000 (4,500,000 + 2,900,000)
Freight In 100,000 0
PR -240,000 -350,000
Markup 0 250,000
Markup Cancelletions 0 -100,000
Markdown 0 -600,000
Markdown Cancellations 0 100,000
GAS - average 4,800,000 7,500,000
Less: Net Sales
Sales 5,300,000
Sales returns -400,000 4,900,000
Ending inventory at retail 2,600,000

Cost Ratio:
GAS - average at cost 4,800,000
Divide by: GAS - average at retail 7,500,000
Average cost ratio 0.64 64%

Ending Inventory at cost:

Ending Inventory at retail 2,600,000
Multiplied by: Average cost ratio 64%
Ending Inventory at average cost 1,664,000

MCP 3-9
 GPM RATE
100%
70%
30%

GPM RATE
100% 583,000 - 8,600 = 574,400
60%
40%

GPM RATE
125%
100%
25%

Cash Sale
Collection AR

100%
60%
 40%

M (Sales)
100%
70%
30%

M (Sales)
100%
70%
30%

M (Sales)
100%
79%
21%

M (Sales)
100%
76%
24% 21% + 3% = 24%

ng NRV sa UNDAMAGE so ung amount parin

damage meron daw 18,000 na NRV GIVEN
e na ito ggmit tau ng LCNRV (Lower Cost NRV)
a kung anong mas mababa den un ung isasama natin
GPM RATE
100% AR 259,480
66% AP 210,990
34%

135%
100%
35%
 6,000,000
1,500,000

ng Inventory at retail 1,500,000

tiplied by: Conservative cost ratio 60%
ng Inventory at conservative cost 900,000

ng Inventory at retail 1,500,000

tiplied by: Average cost ratio 64%
ng Inventory at average cost 960,000

ng Inventory at retail 1,500,000

tiplied by: FIFO cost ratio 65.07
ng Inventory at FIFO cost 976,050

100%
68%
32%

100%
65%
35%