How does a merchandiser determine net sales?

The following unadjusted trial balance is prepared at fiscal year-end for Helix Company.

$$\begin{array}{|l|r|r|} \hline \text { Cash } & \$ 28,750 & \\ \hline \text { Merchandise inventory } & 13,000 & \\ \hline \text { Store supplies } & 5,500 & \\ \hline \text { Prepaid insurance } & 2,400 & \\ \hline \text { Store equipment } & 42,600 & \\ \hline \text { Accumulated depreciation-Store equipment } & & \$ 19,750 \\ \hline \text { Accounts payable } & & 14,000 \\ \hline \text { A. Helix, Capital } & & 39,000 \\ \hline \text { A. Helix, Withdrawals } & 2,000 & \\ \hline \text { Income summary } & 0 & 0 \\ \hline \text { Sales } & & 115,800 \\ \hline \text { Sales discounts } & 1,900 & \\ \hline \text { Sales returns and allowances } & 2,300 & \\ \hline \text { Purchases } & 37,750 & \\ \hline \text { Purchase discounts } & & 400 \\ \hline \text { Purchase returns and allowances } & & 350 \\ \hline \text { Transportation-in } & 1,000 & \\ \hline \text { Depreciation expense-Store equipment } & 0 & \\ \hline \text { Salaries expense } & 27,400 & \\ \hline \text { Insurance expense } & 0 & \\ \hline \text { Rent expense } & 15,000 & \\ \hline \text { Store supplies expense } & 0 & \\ \hline \text { Advertising expense } & 9,700 & \\ \hline \text { Totals } & \$ 189,300 & \$ 189,300 \\ \hline \end{array}$$

Helix Company uses a periodic inventory system.

1. Prepare adjusting journal entries to reflect each of the items below. Record your entries on a (partial) work sheet, using Exhibit 13.4 as a guide. a. Store supplies still available at year-end amount to $2,550.
   b. Expired insurance for the year is$1,450.
   c. Depreciation expense on store equipment is $1,975 for the year.
   d.$10,300 of inventory is still available at fiscal year-end.
2. Complete the (partial) worksheet through the Adjusted Trial Balance columns.
3. Compute net sales.
4. Compute net purchases.
5. Compute cost of goods sold.
6. Compute gross profit.

The following unadjusted trial balance is prepared at fiscal year-end for Helix Company.

$$\begin{array}{|l|r|r|} \hline \text { Cash } & \$ 28,750 & \\ \hline \text { Merchandise inventory } & 13,000 & \\ \hline \text { Store supplies } & 5,500 & \\ \hline \text { Prepaid insurance } & 2,400 & \\ \hline \text { Store equipment } & 42,600 & \\ \hline \text { Accumulated depreciation-Store equipment } & & \$ 19,750 \\ \hline \text { Accounts payable } & & 14,000 \\ \hline \text { A. Helix, Capital } & & 39,000 \\ \hline \text { A. Helix, Withdrawals } & 2,000 & \\ \hline \text { Income summary } & 0 & 0 \\ \hline \text { Sales } & & 115,800 \\ \hline \text { Sales discounts } & 1,900 & \\ \hline \text { Sales returns and allowances } & 2,300 & \\ \hline \text { Purchases } & 37,750 & \\ \hline \text { Purchase discounts } & & 400 \\ \hline \text { Purchase returns and allowances } & & 350 \\ \hline \text { Transportation-in } & 1,000 & \\ \hline \text { Depreciation expense-Store equipment } & 0 & \\ \hline \text { Salaries expense } & 27,400 & \\ \hline \text { Insurance expense } & 0 & \\ \hline \text { Rent expense } & 15,000 & \\ \hline \text { Store supplies expense } & 0 & \\ \hline \text { Advertising expense } & 9,700 & \\ \hline \text { Totals } & \$ 189,300 & \$ 189,300 \\ \hline \end{array}$$

Helix Company uses a periodic inventory system.

1. Prepare adjusting journal entries to reflect each of the items below. Record your entries on a (partial) work sheet, using Exhibit 13.4 as a guide. a. Store supplies still available at year-end amount to $2,550. b. Expired insurance for the year is$1,450. c. Depreciation expense on store equipment is $1,975 for the year. d.$10,300 of inventory is still available at fiscal year-end.
2. Complete the (partial) worksheet through the Adjusted Trial Balance columns.
3. Compute net sales.
4. Compute net purchases.
5. Compute cost of goods sold.
6. Compute gross profit.

a. Write a statement that declares sales to be a pointer to a pointer of type double. b. Write a C++ code that dynamically creates a two-dimensional array of five rows and seven columns and sales contains the base address of that array. c. Write a C++ code that inputs data from the standard input device into the array sales. d. Write a C++ code that deallocates the memory space occupied by the two-dimensional array to which sales points.

Contrast trade promotions and consumer sales promotions.

A fee that is sometimes paid for sales work is called a ___.

Estimate 8.25% sales tax on a $39.89 purchase.

Often sales of a new product grow rapidly at first and then level off with time. This is the case with the sales represented by the function $S(t)=100-100 t^{-1}$ where $t$ represents time in years. Find the rate of change of sales for the following numbers of years.

$$a. 1 \quad b. 10$$

The origin of UGG in Australia lies in the wide-open beaches of Byron Bay $-$ a surfers' paradise. Surfers looked for ways to keep their feet dry and warm $–$ and handmade sheepskin boots offered natural warmth and comfort. The foundation was laid for a marketing phenomenon as the global brand now has sales of over US $\$1$ billion. The UGG boot is now globally well known; the promotion focuses on celebrity endorsements and prices are high to reflect the image of the brand. UGG offers online, premium outlets and, increasingly, its own stores as places for customers to purchase just UGG products. These products include more than just boots as there are now UGG men's footwear products and even a range of bridal shoes called 'I Do'! The shift towards increasing its retail operation means that UGG has put more emphasis on the extended marketing mix such as physical evidence. In its shops it has tried to match the fun-loving, free-wheeling image of its brand and its customers. Stores are in high-street locations with a welcoming exterior. Inside, the layout is spacious, light and colourful with quality fittings and furniture. There is ample seating to allow customers and their partners to relax as they try UGG products on for size.

In line with its retail expansion, UGG has upgraded its IT platform to improve the ordering and delivery process. The new software will gather sales, stock and orders in a single system, collecting data from the point of sale. From a customer-service perspective this means that orders can be filled more quickly and a closer relationship established.

Suggest two ways UGG uses physical evidence as part of its extended marketing mix.

The rate of sales (in sales per month) of a company is given, fort in months since January 1, by $r(t)=t^{4}-20 t^{3}+118 t^{2}-180 t+200$. Graph the rate of sales per month during the first year (t=0 to t=12). Does it appear that more sales were made during the first half of the year, or during the second half?

What is the normal balance of the following accounts: Sales ?

Answer these questions about the sales forecast calculations.

Assume that your stock of sales merchandise is maintained based on the forecast demand. If the distributor’s sales personnel call on the first day of each month, compute your forecast sales by each of the three methods requested here. Using single exponential smoothing and assuming that the forecast for June had been 130, forecast sales for September with a smoothing constant alpha of 0.30.

Yvonne opened a new video game store. The table shows a record of her sales for the first five weeks. To break even, she needs to sell at least $\$12500$ worth of merchandise each week. She assumes the sales trend will continue and wants to know what to expect over the next weeks.
Weekly Store Sales:

$$\begin{array}{| l | l |}\hline \text{Week } & \text{Sales $\$$}\\ \hline \text{1} & \text{8470}\\\hline \text{2} & \text{8920}\\\hline \text{3} & \text{9360}\\\hline \text{4} & \text{9790}\\\hline \text{5} & \text{10,210}\\\hline \end{array}$$

When will sales be twice the sales of week 1?