Vending machines are most often used to sell:

Warnerwoods Company uses a perpetual inventory system. It entered into the following purchases and sales transactions for March.

Flura [38]

Answer:

Warnerwoods Company

Perpetual Inventory System:

1. Cost of Goods Available for Sale and Units Available for Sale:

Mar. 1 Beginning inventory 60 units $50.20 per unit $3,012

Mar. 5 Purchase 205 units $55.20 per unit 11,316

Mar. 18 Purchase 65 units $60.20 per unit 3,913

Mar. 25 Purchase 110 units $62.20 per unit 6,842

Available for Sale 440 units Cost = $25,083

2. The number of units in ending inventory:

Units Available for Sale 440

Subtract units sold 310

Ending Inventory 130 units

3. The Cost assigned to ending inventory using:

a) FIFO: Ending Inventory

20 units at $60.20 per unit = $1,204

110 units at $62.20 per unit = 6,842

Ending Inventory $8,046

b) LIFO: Ending Inventory

Mar. 1 Beginning Inventory 45 units $50.20 per unit = $2,259

Mar. 18 Purchase 65 units $60.20 per unit = 3,913

Mar. 25 Purchase 20 units $62.20 per unit = 1,244

Ending Inventory 130 units Cost = $7,416

c) Weighted Average: Ending Inventory

Cost of Goods Available for Sale divided by units available for sale

= $25,083/440 = $57 per unit

Ending Inventory = $57 x 130 = $7,410

d) Specific Identification: Ending Inventory

This cannot be answered from the information provided in the question:

4. Gross Profit for each costing method:

FIFO LIFO WEIGHTED SPECIFIC

AVERAGE IDENTIFICATION

Sales $27,312 $27,312 $27,312 $27,312

Cost of Sales 17,037 17,667 17,670

Gross Profit $10,275 $9,645 $9,642

Explanation:

a) Sales:

Mar. 9 Sales 220 units $85.20 per unit = $18,744

Mar. 29 Sales 90 units $95.20 units = 8,568

Total = $27,312

b) Cost of Sales:

i) FIFO

Mar 1. Beginning inventory 60 units $50.20 per unit = $3,012

Mar. 5 Purchase 205 units $55.20 per unit = 11,316

Mar. 18 Purchase 45 units $60.20 = 2,709

Cost of Sales = $17,037

ii) LIFO:

Mar. 1 Beginning inventory 15 units $50.20 per unit = $753

Mar. 5 Purchase 205 units $55.20 per unit = $11,316

Mar. 25 Purchase 90 units $62.20 per unit = $5,598

Cost of Sales = $17,667

iii) Weighted Average:

Cost of Sales = $57 x 310 = $17,670

c) Calculations under the specific identification cannot be made because of the figures given under this method.

5 0

4 years ago

The following is a partial trial balance for the Green Star Corporation as of December 31, 2021:

Vinil7 [7]

Answer and Explanation:

The presentation of the income statement is presented below:

Income statement

Revenues and gains:

Sales revenue 1,400,000

Add: Interest revenue 35,000

Add: Gain on sale of investment 55,000

Total revenues and gains 1,490,000

Less:

Expenses and losses:

Cost of goods sold 740,000

General and administrative expenses 80,000

Selling expenses 185,000

Interest expense 45,000

Total expenses and losses 1,050,000

Income before income tax 440,000

Income tax expense - 135,000

Net income 305,000

EPS = Net income ÷ Number of common shares

($305,000 ÷ 100,000) 3.05

2.

Income statement

Sales 1,400,000

Less: Cost of goods sold - $740,000

Gross profit 660,000

Less:

Operating expenses:

General and administrative expenses $80,000

Selling expenses $185,000

Total operating expenses -$265,000

Operating income $395,000

Other incomes and expenses

Interest revenue $35,000

Gain on sale of investment $55,000

Interest expense -$45,000

Total other income, net $45,000

Less: Income before income tax $440,000

Income tax expense -$135,000

Net income $305,000

EPS = Net income ÷ Number of common shares

(305,000 ÷ 100,000) 3.05

7 0

3 years ago

Even though he is not a manager, Mr. Brate is the one to see in the company when there is something you need. He will get it qui

MAVERICK [17]

Answer:

Informal organisation

Explanation:

There are two forms of organisations in a business. The informal organisation and formal organisation.

Informal organisation is the social structure of an organisation, based on social interaction among its members. So even if Mr. Brate is not a management staff, his ability to get things done easily makes him an important member of the informal organisation.

Often informal organisation functions alongside the formal organisation in a business.

8 0

3 years ago

3. Suppose that all households hold all their wealth in assets that automatically rise in value when the aggregate price level r

alexira [117]

Answer:

What happens to the wealth effect of a change in the aggregate price level as a result of this allocation of assets?

The consumers' wealth effect will rise since the slope of the aggregate demand curve increases as the prices of assets increases, i.e. the slope of the aggregate demand curve becomes steeper as customers become wealthier.

Will aggregate demand still be downward sloping? Why or why not?

The aggregate demand curve sill still be downward sloping because as the price of a good or service increases, the quantity demanded will still decrease. An inverse relationship exists between price changes and quantity demanded.

8 0

3 years ago

An improvement made to a machine increased its fair market value & production capacity by 25% without extending the machine'

yulyashka [42]

Answer:

c) capitalize in the machine account

Explanation:

Since it is given that there is an improvement made to a machine due to which it increases the machine fair market value and at the same time it also increases the production capacity of 25% without extending the useful life of the machine

So as the question is talking about the improvement of the machine so the same is to be capitalized in the machine account

Hence, the option c is correct

3 0

3 years ago