Answer:
4. understated by $64000
Explanation:
Purchase cost increases the cost of goods sold and reduces profit before tax (PBT) income.
Similarly, closing inventory balance increases profits before tax income.
In the given case, purchase cost is understated by $40,000 less $4000 i.e $36000. This would overstate the profits by $ 36000. Whereas, omission of closing inventory from records of $100,000 would understate profits by $100,000.
Thus, the net effect of the two mentioned omissions and errors would lead to understated profits by $100,000 less $36000 i.e by $64,000.
Answer:
D. $ 34 comma 160
Explanation:
The movement in the balance of inventory at the start and end of a period is as a result of sales and purchases. While sales reduces the balance in inventory, purchases increases the balance. This may be expressed mathematically as
Opening balance + purchases - cost of goods sold = closing balance
Given that Cost of goods sold 60% of sales and Required ending inventory $ 15 comma 000 + 20% of next month's sales , then
Cost of goods sold for January = 60% * $ 56,600
= $33,960
Required ending inventory for January = $15,000 + 20% * $61,000
= $15,000 + $12,200
= $27,200
$27,000 + budgeted purchases - $33,960 = $27,200
Budgeted purchases for January = $33,960 + $27,200 - $27,000
= $34,160
Answer: True
Explanation:
Because of Consumer unions, businesses can not maltreat consumers any more or not take care of issues that concerns them. For example a consumer's broken ribs after falling down because of a slippery floor in a store. The business is responsible if they did not put up a sign to warn consumers.
Consumer unions fight for the rights of consumers. If the business does not respect the rights of the consumer, the Consumer union can sue them.
One of the limitations of focusing only on socioeconomic characteristics in explaining political participation is that <span>education levels have risen over time but rates of participation have fallen. </span>Why has the level of participation in politics not increased as a result of the rising is <span> one of the most pressing questions concerning socioeconomic status.</span>
Answer:
Explanation:
Given:
Merchandise cost = $665
Sales tax = $48
The credits are indented to emphasize that they are credits, and the total debits must always equal the total credits.
For Overseas Oil Co.,
Total Debit Cash = $713
Total credit cash:
Credit Sales = $665
Sales Tax Payable = $48
