Dear Waka,
Thank you for your seventh message.
This is the second of two messages from me this week. Both messages are
my reply to your seventh message.
I read about an interesting website this week in the Wall Street
Journal. The site is about the Asian Economic Crisis. The site is:
http://www.stern.nyu.edu/~nroubini/asia/AsiaHomepage.html
The article said there were a very high number of hits per day. This is
another example of how accounting and economic information is spread
through the World Wide Web. The English is very complex. You are not
required to read the website. Please go to the site and see the titles
of articles posted there.
>
> >Dear Dr. M. Susan Stiner,
> > Thank you for your message.
> >
> > Today is a cloudy day in the Kanto area.
> >But, it looks like rain.
> >
> > It is humid after the rain.
> >My mother said "I have a difficult the loundry not dries".
My mother said, "I have a difficult time to get the laundry to dry."
> >My home not keep a loundry drier.
My home does not have a clothes dryer.
> >
> > My home keep air cooler very old type.
My home has a very old air conditioner.
> >This air cooler bought as may parents married.
This air conditioner was bought when my parents married.
> >So, this season occasionally using as air cooler.
So this season we occasionally use it.
As Professor Shiina has probably told you, Americans often use air
conditioning. My family is no exception to that rule! Because of our
allergies, we use the air conditioning from April to October. A cool
house has been a blessing this summer!
> >Answer of Homework
> >1 : I'm sorry. I'm not understand.
I'm sorry. I do not understand.
The format of an American income statement is:
Revenue
less: cost of goods sold
equals: gross margin
less: operating expenses
equals: Net Income (Net Loss)
> >2 : Debit Credit
> > Revenues $30,000
> > Cost of Goods Sold
> > Beginning Inventory 0
> > Purchases $37,000
> > Cost of Goods Arailable for sale $37,000
> > less : Ending inventory $22,000
> > Cost of Goods Sold $15,000
> > Gross Margin $15,000
Waka, your answer is correct. The gross margin under LIFO is $15,000.
However, the two columns in the first part of your income statement are
not labelled as debits and credits. These are simply two columns for
numbers. The right-hand column has the most important numbers: revenue,
cost of goods sold and gross margin. That way the reader can find those
numbers fast.
> >3 : Thanks for sending your vocabulary words.
> > Summer is just really coming around.
Summer is just coming around the corner.
"Coming around the corner" or "just around the corner" means that
something will happen soon.
> >But I like summer more than wimter. Because,
But I like summer more than winter, because
> >I can't stand the heat.
Now I'm confused, Waka. If you can't stand the heat, then you like the
cold better. But, if you like the cold better, then you like winter
better than summer. But that's not what you said in the first part of
the sentence!
Which season do you like better, winter or summer? Why?
Of the two seasons, I like summer better. It is very hot, but I can
find some air-conditioning to cool me off. In the summer, I can work in
the garden and watch the plants grow. After a while, I can eat some of
those plants, too!
Sincerely,
--
Prof. M. Susan Stiner