All categories

2 years ago

norma inc. uses the perpetual inventory system. when the company records a sale, it should make entries to:

1 answer:

5 0

The fact that Norma Inc. uses a perpetual inventory system means that when a sale is recorded, the company should:

b. decrease an asset and increase an expense.
c. increase an asset and increase revenue.

<h3>What happens when a sale is made?</h3>

The revenue account should be increased because a sale brings money into the business. Cash or Account Receivables should also increase depending on is the sale was a cash or credit sale.

Cost of goods sold would increase as well and it is an expense. The asset of inventory would decrease to show that there is less inventory on account of the sale.

Options for this question are:

a. decrease an asset and decrease revenue

b. decrease an asset and increase an expense

c. increase an asset and increase revenue

d. increase an asset and decrease an expense

Find out more on the perpetual inventory system at brainly.com/question/25014592.

#SPJ12

You might be interested in

Using the fixed-time-period inventory model, and given an average daily demand of 75 units, 10 days between inventory reviews, 2

viva [34]

Answer:

a. 863

Explanation:

Calculation for the order quantity

Order quantity = 75 x (10 + 2) + (1.64 x 8) - 50

Order quantity = (75 x 12) + (1.64 x 8) - 50

Order quantity= 900 + 13.12 - 50

Order quantity= 863.12

Order quantity = 863

Therefore the Order quantity will be 863

8 0

3 years ago

Costco is an example of _______ warehouse. Group of answer choices Hub and spoke system Assortment Spot stock Break bulk

Ivanshal [37]

Answer:

Hub and spoke system

Explanation:

Costco Wholesale Corporation is a company that operates in the warehouse industry. They store merchandise at a lower cost than other wholesale or retail sources.

They aim to reduce warehousing cost for small and medium scale businesses.

In the hub and spoke system each component of the warehousing system are independent and contribute to the central warehousing activity.

It is also called the master feeder structure.

Freight traffic is moved to the central hub through spokes that are arranged around the centre like a wheel.

This system reduces the travel time and therefore is more efficient with lower cost

4 0

3 years ago

Sue, a secretary goes to the storeroom to get a box of paper for her department. This is a task she's performed without problem

just olya [345]

Answer:

B. Sue is entitled to Workers' Compensation even though her employer was not negligent.

Explanation:

Sue is performing her normal duties that is required by her being a secretary when she was injured. So the employer cannot be said to be negligent in allowing her carry paper for her unit.

She will not be able to sue for employer for her injuries.

However when an employee is injured they are entitled to Worker's compensation and paid time off work.

This is given to employees even when the employer is not negligent.

Sue can get the Worker's compensation for her back treatment.

7 0

3 years ago

Lin Corporation has a single product whose selling price is $134 per unit and whose variable expense is $67 per unit. The compan

podryga [215]

Answer:

1. 600 units

2. $81,800

Explanation:

In this question we use the formula of break-even point in unit sales which is shown below:

= (Fixed expenses + target profit) ÷ (Contribution margin per unit)

where,

Contribution margin per unit = Selling price per unit - Variable expense per unit

= $134 - $67

= $67

And, the other items values would remain the same

Now put these values to the above formula

So, the value would equal to

= ($32,300 + $7,900) ÷ ($67)

= ($402,00) ÷ ($67)

= 600 units

2. Break even point = (Fixed expenses + desired profit) ÷ (Profit volume Ratio)

And, Profit volume ratio = (Contribution margin per unit) ÷ (selling price per unit) × 100

So, the Profit volume ratio = ($67) ÷ ($134) × 100 = 50%

The other values would remain same

Now put these values to the above formula

So, the value would equal to

= ($32,300 + $8,600) ÷ (50%)

= $81,800

8 0

2 years ago

The following information is drawn from Royal Industries' cash budget: Cash Receipts $ 40,000 Beginning Cash Balance $ 10,000 Ca

Andreyy89

Answer

The answer and procedures of the exercise are attached in the following archives.

Explanation

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.

8 0

3 years ago