The answer to a multiplication problem
Based on the <u>specific identification inventory method</u>, the cost of goods sold would equal $65 ($30 + $35) and not $75 as indicated in the question.
Specific identification is an inventory costing method that tracks the cost of goods to the exact items that are sold. This method is used where it is possible to track sold items individually, especially when the sold items are separately identifiable.
Specific identification is just one method in inventory costing. Others are <em>Last-in, First-out (LIFO), First-in, First-out (FIFO), and Weighted-Average Cost Methods.</em>
Thus, the inventory method that will produce the cost of goods sold under this scenario is the specific identification method.
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Answer:
The interest rate for the euro zone to avoid arbitrage has to be C) 8.62%
Explanation:
Hi, we need to solve for r(eur) the following equation in order to find an interest rate that will avoid arbitrage.

That is:




So, the euro zone rate to avoid arbitrage is 8.62%, which is option C)
Best of luck.
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