Answer:
The question is incomplete, the option include:
- $20,000 decrease.
- $45,000 decrease.
- $80,000 decrease.
- <em>$160,000 decrease. is Correct</em>
- $320,000 decrease.
Explanation:
1. In 2019 the number of finished units with internal faults = $400,000 completed units * 0.05 = $20,000.
2. In 2020 the number of finished units with internal faults = $20,000* (1 -0.1) = $18,000.
3. In 2020, the projected cost of internal failure= $18,000 * $80= $1,440,000;
4. In 2019 the expense of internal failure= $20,000 * $80 = $1,600,000.
5. Projected shift in the cost of internal failure = <em><u>$1,600,000 - $1,440,000 = decrease of $160,000</u></em>
The cost of ending inventory and the cost of goods sold under each of the following methods: Under the LIFO method, Sales Less: Cost of Goods sold Gross Profit less: Selling, admin, depreciation Income before.
Final in, first out (LIFO) is a technique used to account for inventory. beneath LIFO, the expenses of the maximum recent products bought (or produced) are the primary ones to be expensed. LIFO is used most effectively inside the USA and governed via the commonly ordinary accounting standards (GAAP).
The LIFO method is used within the COGS (value of products sold) calculation while the fees of manufacturing a product or obtaining inventory have been growing. this will be because of inflation.
The ultimate-In, First-Out (LIFO) method assumes that the last unit to arrive in stock or greater latest is offered first. the first-In, First-Out (FIFO) approach assumes that the oldest unit of inventory is sold first.LIFO effects decrease internet earnings because the price of products offered is better, so there may be a decrease in taxable profits.” decreased tax legal responsibility is a key reason some organizations decide on LIFO.
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Answer:
7.92%
Explanation:
The computation of the return on total assets is shown below:
Return on assets = (Net income) ÷ (average of total assets)
where,
Net income is $2,100
Average total assets = (Beginning total assets + ending total assets) ÷ 2
= ($33,500 + $19,500) ÷ 2
= $26,500
Now put these values to the above formula
So, the ratio would equal to
= $2,100 ÷ $26,500
= 7.92%
Answer:
d. $ 263.50
Explanation:
The Exchange rate is 1 dollar = 19.924 Uruguayan Peso.
We need to buy 5000 Uruguayan pesos but the agent requires a comision of a 5% when converting currency, so really we will need to buy:
5,000 Uruguayan pesos + 5,000 Uruguayan pesos* 0.05 = 5,250 Uruguayan pesos.
Now if we apply the given exchange rate we will obtain the amount of US Dollars we need:
x U$S = (5,250 Ur.$)/(19,924 Ur.$/U$S)= 263,50 U$S needed