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nikklg [1K]
3 years ago
9

Assume a company paid $800 for a computer that it plans to sell to its customers. Suppose that as a result of new technology the

company could buy the same computer today for $600. Which of the following journal entries would be required to show the inventory at the lower of cost or market?
a.
Account Titles Debit Credit
Inventory 600
Cost of Goods Sold 600

b.
Account Titles Debit Credit
Cost of Goods Sold 600
Inventory 600

c.
Account Titles Debit Credit
Inventory 200
Cost of Goods Sold 200

d.
Account Titles Debit Credit
Cost of Goods Sold 200
Inventory 200
Business
1 answer:
soldi70 [24.7K]3 years ago
4 0

Answer:C.

Account Titles Debit Credit

Inventory 200

Cost of Goods Sold 200.

Explanation: Cost of goods sold(COGS) is the total amount spent directly to produce the goods which was sold, it can be calculated as follows

COGS = Beginning Inventory + Purchases During the Period – Ending Inventory.

Inventory is a term used to describe materials of value to an organisation that are in different stage such as RAW MATERIALS,WIP(WORK IN PROGRESS) AND FINISHED GOODS.

To show the inventory at the lower of cost or market the journal entry should be entered as follows; Account Titles Debit Credit

Inventory $200

Cost of Goods Sold $200.

The $200 represented the difference between $800 and $600 which is equal to $200. The $200 will be entered as the cost of goods sold.

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Y_Kistochka [10]

Answer:

The correct answer is option (a) The court probably found that the state law was unconstitutional under the supremacy cause.

Explanation:

Solution

From the given questions it states that, What would be the court's most likely response to Ralph's lawsuit.

The court's decision response would be that, I that when the situation arises or occurs in that case, where there is a conflict which arises between federal and state law then in that case federal law must be applied.

7 0
2 years ago
Allowance for Doubtful Accounts has a debit balance of $2,300 at the end of the year (before adjustment). The company prepares a
Alina [70]

Answer:

d. Debit Bad Debt Expense, $34,200; credit Allowance for Doubtful Accounts, $34,200

Explanation:

allowance balance                           2,300 debit

estimated uncollectible accounts   31,900 credit

adjustment needed                         34,200 credit

We need to adjust the allowance to our estimated uncollectible account. Currently, it has 2,300 debit balance. We need to increase it to 31,900

If we think it in two steps:

We need to credit by 2,300 to have zero balance,

and then 31,900 to reach the expected uncollectible amount

in total a credit for 34,200 needs to be done

<u>The adjusting entry will be:</u>

bad debt expense                       34,200 debit

allowance for doubtful accounts                        34,200 credit

8 0
2 years ago
According to Carl Jung, what are the two main ways that people process information?
nata0808 [166]
The answer is A. Thinking and sensing

The thinking type will rely on their analysis capabilities to process information, and make their decision based on their analysis projection

Meanwhile, the sensing type will rely on their 5 senses to process information, which mean they have to experience it first before they can make their decision
4 0
3 years ago
One of your customers is delinquent on his accounts payable balance. you’ve mutually agreed to a repayment schedule of $750 per
liubo4ka [24]
In this problem, we need to find the length of an annuity. We already identified the interest rate, the PV, and the payments.
Using the PVA equation: PVA =C({1 – [1/(1 +r)t]} /r
$18,000 = $750{[1 – (1/1.019) t] / 0.019}
Then solve for t:
1/1.019t= 1 − {[($18,000)/($750)](0.019)}
1/1.019t= 0.544
1.019t= 1/(0.544) = 1.838
t= ln 2.193 / ln 1.019 = 32.34 months or 2.7 in years
4 0
3 years ago
Bulldog, Inc. has budgeted sales for the first quarter of the next year to be 30 comma 000 units. The inventory on hand at the b
Nadya [2.5K]

Answer:

30,000 units

Explanation:

Budgeted sales is 30,000 units

Beginning inventory = 5000 units

Ending inventory = 5000 units

In order to meet the sales of 30,000 units, the sum of budgeted production and beginning inventory must be at least 30,000 units. However, since the company desires to have 5000 units in ending inventory, this sum must be raised to 35,000 units, which means the production needs to 30,000 units

--> Budgeted production = 30,000 + 5000 - 5000

                                         = 30,000 units

6 0
3 years ago
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