What is a warehouse receipt?
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A warehouse receipt is a document of title issued by a company that is engaged in the business of storing goods for hire, such as a warehouse company or a storage company, that states that the bailor has title to the goods. A warehouse receipt that is issued to the bailor is often a preprinted form drafted by the warehouse company. A warehouse receipt includes the date of issue, a description of the goods or the packages containing the goods, the location of the warehouse where the goods are stored, and other terms related to the bailment. A warehouse company has a lien on the goods in its possession for necessary expenses incurred in storing and handling the goods. If the charges are not paid, the warehouse company may sell the goods at a public or private auction and apply the proceeds to pay the charges. Any excess proceeds must be held for the persons who had the right to demand delivery of the goods.
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Revenue from sources other than the primary operating activity of a business.
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Jewel Tone Paints Company uses the direct method for preparing its statement of cash flow
Jewel Tone reports the following information regarding 2017: From the income statement: Sales Revenues, $267,000 Cost of Goods Sold, $213,000 Operating Expenses, $33,000 From the balance sheet: Beginning Balance Ending Balance Accounts Receivable $14,500 $17,900 Merchandise Inventory 24,100 18,400 Accounts Payable 6,900 13,500 Accrued Liabilities 4,800 1,600 What amount will be shown for payments to suppliers for Merchandise Inventory purchases? (Assume that Accounts Payable are for purchases of merchandise inventory only.) A) $207,300 B) $213,900 C) $200,700 D) $212,100