All categories

2 years ago

P19 - 104. in applying the lower of cost or market method to inventory valuation, market is defined as:

1 answer:

8 0

lower-of-cost-or-market It is inconsistent because losses are recognized but not gains. b. It usually understates assets. c. It can increase future income. "market" in the lower-of-cost-or-market rule be more than estimated selling price in the ordinary course of business less reasonably predictable costs of completion and disposal. Designated market value is always the middle value of replacement cost, net realizable value, and net realizable value less a normal profit margin Lower-of-cost-or-market is most conservative if applied to individual items of inventory. the rationale behind the ceiling when applying the lower-of-cost-or-market method to inventory is to prevent overstatement of the value of obsolete or damaged inventories.

You might be interested in

The balance sheet of Starsky Company at December 31, 2019, includes the following. Notes receivable $36,000 Accounts receivable

Arturiano [62]

Answer:

Journal Entry

Explanation:

1. Cash Dr, $136,800

Sales Discount Dr, $1,200

($60,000 × 2%)

To Accounts receivable $138,000

(Being cash is recorded)

2. Accounts receivable Dr, $5,300

To Allowance for doubtful accounts $5,300

(Being written off is recorded)

Cash Dr, $5,300

Accounts receivable $5,300

(Being payment received is recorded)

3. Allowance for doubtful accounts Dr, $17,500

To Accounts receivable $17,500

(Being written off is recorded)

4. Bad Debts expense Dr, $14,900

=$20,000 - ($17,300 + $5,300 - $17,500)

To Allowance for doubtful accounts $14,900

(Being bad debt expenses is recorded)

8 0

3 years ago

Supply chain management plays a dual role. Its first role is as a communicator of customer demand that extends from the point of

Iteru [2.4K]

Answer:

The statement is: True.

Explanation:

Supply Chain Management aims to streamline the processes involved in the supply chain. The supply chain is a complex network of activities and resources involved in transferring raw materials, parts, and finished goods from initial manufacturers to end consumers.

We could say then, that the supply chain management has a dual role: one driven by the manufacturers needs to be communicated to suppliers and the second represented by the number of activities that the supply chain processes demand managers and engineers to structure.

8 0

3 years ago

Following is selected financial information from General Mills, Inc., for its fiscal year ended May 29, 2016 ($ millions):

mojhsa [17]

Answer:

General Mills, Inc.

1. Income Statement for the fiscal year ended May 29, 2016:

Revenue $16,563.1

Cost of goods sold $10,733.6

Gross profit $5,829.5

Total expenses $4,092.7

Net Income $1,736.8

2. General Mills, Inc. Balance Sheet for the fiscal year ended May 29, 2016:

Cash $763.7

Non-cash assets 20,948.6

Total assets $21,712.3

Total liabilities 16,405.2

Stockholders' equity 5,307.1

Total Liab. + equity $21,712.3

3. General Mills, Inc. Statement of Cash Flows for the fiscal year ended May 29, 2016:

Cash from operating activities $2,629.8

Cash from investing activities 93.4

Cash from financing activities* (2,293.7)

Net Cash Flows $429.5

Cash, beginning year 334.2

Cash, ending year $763.7

Explanation:

a) Interestly, General Mills, Inc.'s income statement shows the financial performance (profit points) of the company when revenue is compared with the cost of goods sold and the expenses. The first profit point is the gross profit, which is the difference between revenue and cost of goods sold. The second profit point is the net income, which is the difference between the gross profit and the expenses incurred for the period in running the business.

b) On the other hand, General Mills, Inc.'s balance sheet shows the financial position of the company. They show what the business owns (assets) and what it owes (liabilities) outsiders and the owners of the company (equity).

c) While, General Mills, Inc.'s statement of cash flows shows the cash flows from operating, financing, and investing activities of the company, and the net cash flows for the period, which can be reconciled to the beginning cash to obtain the ending cash balance.

6 0

3 years ago

50 PTS!!!!!!!!!!!!

ioda

A facility manager is the person responsible for coordinating all the employees and entities involved in the facility to ensure that they work on behalf of the facility and help meet its short- and long-term goals and objectives. Many people are in fact facility managers in their daily lives and do not realize it. The person who is the head of a household is really a facility manager. That person needs to purchase the house, pay the mortgage, paint the rooms, install new equipment such as air conditioners, maintain existing systems such as the roof, manage facility "subletting" (as in determining who is going to get which room), interact with government entities to pay taxes, and employ tradespeople such as plumbers and electricians.

Hope this helps.

6 0

3 years ago

Read 2 more answers

Which of the following is true of performance management? Select one: a. It focuses on analyzing employee performance by groupin

xxTIMURxx [149]

Answer: The following is true of performance management: It focuses on analyzing employee performance by grouping them into predefined frequencies of performance ratings.

Performance management are predefined activities that check whether the short term and long term goals are achieved in an effective and cost-effective manner. It also focus on the performance of an organization, a sector, an worker, or the activity.

Therefore, the correct option is (a.)

7 0

3 years ago