Professional Documents
Culture Documents
Consignment Sales
Consignment Sales
Consignment Sales
SALES
Problem 1
ABC Corporation consigned ten (10) bags to XYZ Inc. These bags
had a cost of P10,800 each. Freight on the shipments amounting
to P7,200 was paid by ABC Corp. XYZ submitted an accounting
of sales stating that it has sold six (6) bags and remitted cash
amounting to P81,900 to ABC Corp. after deducting the
following:
Commission, 15% of sales: ?
Selling expenses: P5,400
Delivery and installation of items sold: P3,600
Cartage cost upon receipt of consigned goods: P900
Problem 1
Q1: The total consignment sales:
Q2: The commission earned on the sale of six (6) bags by XYZ,
Inc:
Company Y was able to sell 15 shirts in July and 5 shirts in August. The
regular monthly collections by Company Y and the appropriate cash
remittances have been made to Company X at the end of each month. The
parties agreed that Company Y is allowed only to deduct a commission
based on the amount collected from consignment.
Problem 2
Q1: The cost of inventory on consignment in the hands of
Company Y:
Answer: 1,650