Answer:
The correct answer to the following question is option A, i.e., To create more value for customers.
Explanation:
Generally, this answer is best for this question because customer satisfaction is more valuable for your business. The word 'value' is mostly means to price or any other things which have value for the businessman as well as the customers also.
In other words, when we create more value to the customer then we get more profit and if we do not value our customer then we suffer loss.
So, the customer value is more valuable or precious for the businessman or the firm.
Answer:
decrease by $800
Explanation:
The computation of the gross profit is calculated below:
= Number of inventory units on hand at the end of the year × (Cost per unit - current replacement cost per unit)
= 200 units × ($14 - $10)
= 200 units × $4
= $800
This $800 represents the decrease in gross profit and the same is to be considered
hence, the last option is correct
Answer:
correct option is B.$2,273
Explanation:
given data
purchased = $150,000
building = $100,000
land = $50,000
to find out
Tom's maximum depreciation for this first year
solution
we will apply here The mid month convention applies
and recovery period for Residential property = 27.5-year
maximum depreciation will be here as
maximum depreciation = $100,000 × 2.273%
maximum depreciation = $100,000 × 0.02273
maximum depreciation = $2,273
so correct option is B.$2,273
Answer: (D) ABC analysis
Explanation:
ABC analysis is one of the type of inventory method that are basically divided into the three main categories that is A,B and the C categorization.
The main advantage of this type of analysis is that it is categorized on the quantity and the values basis and this analysis is basically keeps the cost in the business under the control. It is also known as the inventory management and the ABC analysis contributed in the overall profit in an organization.
According to the question, the retail manager basically using the ABC analysis for determining the inventory items in the system.
Therefore, Option (D) is correct.
Answer:
No impairment loss would be reported
Explanation:
The computation is shown below;
Impairment loss = carrying value - recoverable amount
Where,
The recoverable amount would be the higher amount of fair market value and value in use
So the recoverable amount would be $2,545,000
Now the impairment loss is
= $2,500,000 - $2,545,000
= -$45,000
Since the impairment loss comes in negative so no impairment would be recorded
