Question

The handbag department received 432 totes for the spring season. At the end of the first month, 280 totes were on hand. What was the sell-through percent of the totes? Note: round percent to two decimal places.

The buyer purchased 48 lounge pants to be priced at $39. There were already 10 pair of lounge pants in stock, but they were repriced from $34 to $39 for consistency. All of the lounge pants sold. What was the additional markup percent earned on the lounge pants already in inventory? Note: round percent to two decimal places.

Susie receives an employee discount of 8% on all items purchased in the retail store where she works. If she purchases two blouses at $24.99 each and three skirts for $48.00 each, how much was her bill, including a 7% tax? Note: round dollars to two decimal places.

Calculate GMROI from the following data: net sales, $434,000; beginning inventory at cost, $94,000; closing inventory at cost, $89,000; and gross margin, 35%.

Given the following information, determine (a) closing book inventory (b) gross costs of merchandise sold, (c) total cost of merchandise sold, (d) gross margin percent, (e), cumulative markup percent, and (f) maintained markup percent. Note: Use Closing Physical Inventory and round all $ to the nearest dollar and all percentages to two decimal places. Please use the RIM Worksheet and upload the spreadsheet to this problem. Note a, b, c, d, e, and f on form.

	Cost ($)	Retail ($)
Opening Inventory	31,680	58,426
Gross Purchases	86,780	168,342
RTV	2,320	4,127
Freight	1,018
Net Additional Markup		345
Markdowns		11,136
Markdown Cancellations		476
Employee Discounts		480
Transfers In	2,324	4,470
Transfers Out	1,550	2,980
Gross Sales		168,050
Customer Returns		12,378
Closing Physical Inventory		53,672
Cash Discounts	2,957
Alternation Costs	832

Based on the following figures, determine (a) Closing book Inventory, (b) shortage or overage percent, and (c) estimated physical inventory when shortages are estimated at 1.2%. Note: round all $ to the nearest dollar and all percentages to two decimal places. Please use the Inventory Form for Chapter 7 and upload the spreadsheet to this problem. Note a, b, and c on the form.

Opening inventory $292,000

Gross purchases $521,000

RTV $35,000

Transfers in $10,500

Transfers out $8,400

Customer returns $51,500

Gross sales $512,000

Markdowns $14,200

Markdown cancellations $1,200

Employee discounts $3,100

Closing physical inventory $276,700

Answer 1

Calculation of Sell Through Percent of the totes

No. of totes received by the handbag department at the beginnng of the month = 432

No. of totes remaining with the handbag department at the end of the month = 280

No. of totes sold by the handbag department during the month = 432 -280 = 152

Sell through %= totes sold

totes at the beginnning of the month

= 152

432

=35.18%

Therfore, sell through percent of the handbag department is 35.18%

Answer

Mark Up- Markup helps us in determining Profitability and it is calculated by deducting cost from the selling price and dividing the difference amount obtained with cost.

Calulation of additional Markup Percent earned on the Lounge Parts in Inventory

Selling( Repriced ) Price = 39$

Original amount = 34$

Additional Mark Up= Selling (Repriced) Price- Original Price

Original Price

=   39$-34$

34$

=    14.70%

Therfore, additional Markup earned on the lounge parts already in inventory is14.70%

Note

Since cost is not given, additional markup is calculated by using the selling prices.