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Touch Tronix, Inc

question 167

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Touch Tronix, Inc.sells component parts to Advanced Communications, Inc.a cell phone manufacturer.On December 10, 2011, Touch Tronix, Inc.sold €680,000 of goods to Advanced Communications, Inc.on account for €880,000.Terms of the sale were 2/10, net 30.Advanced Communications, Inc.paid €13,000 in freight charges.On December 13, 2011, Advanced Communications, Inc.returned 5% of the goods due to inferior quality.On December 18, 2011, Advanced Communications, Inc.paid the account in full.Advanced Communications, Inc.uses a perpetual inventory system.If Advanced Communications, Inc.has not yet sold any of these goods, what is the ending balance in the inventory account after the payment is made?


Definitions:

E-Commerce Platform

A software solution that enables online businesses to manage their website, marketing, sales, and operations.

Online Marketplace

A platform available on the internet where buyers and sellers can transact for goods or services; it can be operated by a third party or directly by the seller of the product or service.

Personal Assistant App

A software application designed to help users with tasks such as scheduling appointments, sending reminders, making phone calls, and answering questions using natural language processing.

Wake Word

A specific word or phrase programmed into a voice-activated device to initiate listening or processing of subsequent commands.

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