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siniylev [52]
3 years ago
10

Eric's Used Book Store prepares its financial statements in accordance with IFRS. Inventory was purchased for €6 million and lat

er marked down to €4 million. One of the books, however, was later discovered to be a rare collectible item, and the inventory is now worth an estimated €7 million. The inventory is most likely reported on the balance sheet at:
Business
1 answer:
andrew-mc [135]3 years ago
4 0

Answer:

€6 million

Explanation:

As we know that

According to the International Financial Reporting Standards, if the net realizable value of the inventory increases then the written down of reversal value is required

And according to the GAAP, the inventory should be valued at lower of cost or net realizable value

So in the given case, the inventory is purchased at €6 million and now it is estimated value is  €7 million so the lower value i.e €6 million should be reported on the balance sheet.

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Construct the Barron​ Pizza, Inc. income statement for the year ending 2015 with the following information ​(the dollar amounts
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2 years ago
If consumers see a measurable increase in the price of coffee, they are likely to change their consumption to less expensive tea
erica [24]

Answer: Utility function .

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utility function measures the welfare or satisfaction of a consumer as a function of consumption of real goods such as food or clothing. Utility function is widely used in the rational choice theory to analyze human behavior.

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Economists take the utility-function concept one step farther by assigning a numerical value to the products that consumers choose or choose not to consume. Assigning a value of utility is called cardinal utility, and the metric used to it is called utils.

For example, in certain situations, tea and coffee can be considered perfect substitutes for each other, and the appropriate utility function must reflect such preferences with a utility form of u(c, t) = c + t, where "u" denotes the utility function and "c" and "t" denote coffee and tea. Economists might conclude that a consumer who consumes one pound of coffee and no tea derives a utility of 1 util.

4 0
3 years ago
Emotional intelligence (ei) is critical to effective leadership because one of its core components is ________, which reflects t
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3 0
3 years ago
The following information is available for Sunland Company
Oksanka [162]

Answer:

Sunland Company

Balance Sheet as at December 31, 2022

ASSETS

<u>Non - Current Assets</u>

Equipment (net)                                                  110,500

Total Non - Current Assets                                110,500

<u>Current Assets</u>

Inventory                                                               2,900

Supplies                                                                 3,740

Accounts receivable                                             3,400

Cash                                                                      6,200

Total Current Assets                                           16,240

Total Assets                                                       126,740

EQUITY AND LIABILITIES

Equity

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Retained Earnings                                             36,660

(126,740 -  39,480 - 50,600)

Total Equity

Liabilities

<u>Current liabilities</u>

Accounts payable                                              4,800

Interest payable                                                    520

Unearned service revenue                                  860

Salaries and wages payable                                800

Total Current liabilities                                      6,980

<u>Non - Current liabilities</u>

Notes payable                                                 32,500

Total Non - Current Liabilities                        32,500

Total Liabilities                                                39,480

Total Equity and Liabilities                            126,740

Explanation:

A Balance Sheet shows the Assets, Liabilities and Equity as at the Reporting date.

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3 0
3 years ago
If D​ = 8,200 per​ month, S​ = ​$44 per​ order, and H​ = ​$2.00 per unit per​ month, ​a) What is the economic order​ quantity? T
Nadya [2.5K]

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B)The Economic Order Quantity is 425 units.

C )The Economic Order Quantity is 849 units

Explanation:

EOQ, economic order​ quantity = \sqrt{ 2 x Dx  S/ H}

where D=  demand

S = Order cost

H= holding cost.

a)when  D​ = 8,200 per​ month, S​ = ​$44 per​ order, and H​ = ​$2.00

EOQ, economic order​ quantity = \sqrt{2x D x S /H}

=  \sqrt{2 x 8,200 x 44 /2 } =  \sqrt{360,800} = 600.666= 601 units

b) if the holding cost​ doubles, holding cost = HX 2 = 2 X 2  = 4

EOQ, economic order​ quantity =\sqrt{ 2 x D xS /H }

= \sqrt{2  X 8,200 X 44 / 2 X $2} = \sqrt{180,400} = 424.73 = 425units

C) if the holding cost drops in​ half, holding cost = H/2 = 2 X 1/2 = 1

EOQ, economic order​ quantity =\sqrt{ 2 x D xS /H }

= \sqrt{2 X 8200 x 44/1} = \sqrt{721,600} = 849.47 = 849units

4 0
3 years ago
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