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Lilit [14]
4 years ago
14

A company just starting in business purchased three merchandise inventory items at the following prices. March 2, $150; March 7,

$160; and March 15, $180. If the company sold two units for $250 each on March 10 and March 20, and used the FIFO cost formula in a perpetual inventory system, the gross profit for March would be
Business
1 answer:
Kazeer [188]4 years ago
3 0

Answer:

$290

Explanation:

Gross profit is the difference between the sales and cost of items or goods sold. The FIFO cost formula or inventory valuation method is one in which inventory items are sold on the basis of first in first out that is, based on date of purchase.

As such, where 2 items of 3 are sold, the cost of goods sold

= $150 + $160

= $310

Total sales = 2 × $250

= $500

Gross profit = $500 - $310

= $290

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Faldo Corp sells on terms that allow customers 45 days to pay for merchandise. Its sales last year were $425,000, and its year-e
scZoUnD [109]

Answer:

d) 6.53 days late as the days sales outstanding are longer than the 45-days credit given by the company

Explanation:

A/R turnover ratio

\frac{sales}{Accounts \: receivables}

\frac{425,000}{60,000} = 7.0833

days sales oustanding:

\frac{365}{A/R \: turnover}

\frac{365}{7.08333} = 51.53 \: days

45 - 51.53 = 6.53

6 0
4 years ago
Key performance indicator​ cards: A. lead to local but not global or strategic improvements if they are not linked to strategy.
Alecsey [184]

Answer:

A. Lead to local but not global or strategic improvements if they are not linked to strategy.

Explanation:

A key performance indicator card is a technique or rather methodology used in assessing the status of a measure by comparing key indicators to target. It is a performance card that identifies the main objective and gives a well structured view of the organization. It can lead to both local and strategic improvements if they are linked to strategy. They are performance scorecards developed without necessarily working from company's strategy.

3 0
3 years ago
Help hep help help help
Inessa05 [86]
I believe the answer is B
8 0
3 years ago
Yasmin Co. can further process Product B to produce Product C. Product B is currently selling for $30 per pound and costs $28 pe
Mice21 [21]

Answer:

31 per pound

Explanation:

8 0
3 years ago
Which of the following describes the substitution effect of a price change?A) The change in demand that results from a change in
Liula [17]

Answer:

The answer is D. The change in quantity demanded of a good that results from a change in price, making the good more or less expensive relative to other goods, holding constant the effect of the price change on consumer purchasing power

Explanation:

Substitution effect is a concept in which, as the price of a good or service increases, less of the good or service is substituted for other less expensive.

For example, if the price of Pepsi were to rise, the substitution effect would cause the consumer to buy less of it and substitute more coca-cola for now relatively more expensive Pepsi.

Option A. is wrong because we are talking about the quantity demanded and not just demand. (Please take note).

6 0
4 years ago
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