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IRISSAK [1]
2 years ago
15

Lemony Company made sales of $ 32 comma 200 million during 2018. Cost of goods sold for the year totaled $ 12 comma 880 million.

At the end of 2017​, Lemony's inventory stood at $ 1 comma 200 ​million, and Lemony ended 2018 with inventory of $ 1 comma 600 million. Compute Lemony's gross profit percentage and rate of inventory turnover for 2018. Begin by computing Lemony​'s gross profit percentage for 2018. ​(Round your answer to the nearest tenth of a​ percent, X.X%.) Lemony's gross profit percentage for 2018 is %.
Business
1 answer:
Aleksandr [31]2 years ago
7 0

Answer:

Gross profit is 60%

Inventory turnover is 4.6 times

Explanation:

The formula to compute the gross profit percentage is shown below:

= (Gross profit ÷ sales) × 100

where,

Gross profit = Sales - the cost of good sold

                   = $32,200 million ÷ $12,880 million

                   = $19,320 million

And, the sales is $32,200 million

Now put these values to the above formula  

So, the percentage would equal to

= ($19,320 million) ÷ ($32,200 million) × 100

= 60%

The formula to compute the inventory turnover is shown below:

= (Cost of goods sold) ÷ average inventory

where,

Average inventory = (Beginning inventory + ending inventory) ÷ 2

                               = ($1,200 million + $1,600 million ) ÷ 2

                               = $900 million

And, the cost of good sold is $12,880 million

Now put these values to the above formula  

So, the turnover would equal to

= $12,880 million ÷ $2,800 million

= 4.6 times

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The following information is available for Dakota Company: Product 1 Product 2 Sales $1,400,000 $1,800,000 Direct materials (200
xeze [42]

Answer:

$380,000

Explanation:

Particulars                                           Product 1 (Amount)

Sales                                                          $1,400,000

(-) Direct materials                                   ($200,000)

(-) Direct labor                                          ($600,000)

<u>(-) Manufacturing overhead </u>

Batch level ($400,000*20/80)                 ($100,000)

Product line level ($600,000*10/50)       <u>($120,000)</u>

Gross margin                                            <u>$380,000</u>

So, Dakota Company's gross margin for Product 1 using activity based costing is $380,000

6 0
3 years ago
Suppose the economy is closed with national saving of $3 trillion, consumption of $10 trillion, and government purchases of $4 t
yanalaym [24]

Answer:

The correct answer is: $17 trillion.

Explanation:

The Gross Domestic Product or GDP represents the overall market value of all the goods and services a country produces and it measures the size of the economy. The GDP is determined with the following formula:

GDP = C +  G + I + NX

where:

  • C: private consumption or consumer spending
  • G: government spending
  • I: businesses' capital spending
  • NX: net exports (exports - imports)

In the example:

GDP = $3 trillion + $10 trillion + $4 trillion = $17 trillion

4 0
3 years ago
Which strategy makes use of your prior knowledge to help you read and understand quickly?
Shtirlitz [24]
I think it's guessing from context? Hope I helped!
7 0
3 years ago
Read 2 more answers
Barclay Enterprises manufactures and sells three distinct styles of bicycles: the Youth model sells for $350 and has a unit cont
grandymaker [24]

Answer:

Break-even point in composite units = 811 units

Explanation:

Number of modal;

5 Youth models

9 Adult models

6 Recreational models

Annual fixed costs total = $6,550,000

Find:

Break-even point in composite units

Computation:

Mixed contribution margin = 5[130] + 9[475] + 6[525]

Mixed contribution margin = 650 + 4275 + 3150

Mixed contribution margin = $8075

Break-even point in composite units = Annual fixed costs total / Mixed contribution margin

Break-even point in composite units = 6,550,000 / 8075

Break-even point in composite units = 811 units

3 0
2 years ago
A company enters into a short futures contract to sell 5000 bushels of wheat for 571'4 cents per bushel. The initial margin is $
zalisa [80]

Answer:

563.4 cents

Explanation:

A margin call occurs when the margin of an investment falls bellow the maintenance margin.

In this problem, the production costs for 5,000 bushels are given by:

Margin = Price*units -Cost\\\$1,500=\$5.714*5000 - Cost\\Cost = \$27,070

The price per bushel that yields a margin of $1,100 is:

\$1,100=Price*5,000- \$27,070\\Price =\$5.634=563.4\ cents

You will receive a margin call at a price of 563.4 cents per bushel.

4 0
3 years ago
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