Answer:
the standard price per gallon is $5.25
Explanation:
the computation of the standard price per gallon is given below;
Materials Price Variance = Actual Quantity × (Standard Price - Actual Price)
$90,000 = 40,000 × (Standard Price - $3)
$2.25 = Standard Price - $3
Standard Price = $5.25
Hence, the standard price per gallon is $5.25
The same should be considered
Answer:
Inventory turnover = 9.45
Explanation:
Inventory turnover is defined as the ratio between Cost of good sold and average inventory.
Average inventory is defined as follows, where BI = Beginning merchandise inventory and EI = Ending merchandise inventory:
then:
Answer:
debit Work in Process Inventory, credit Raw Materials Inventory.
Explanation:
For reasons of accounting principles, the physical inventory must have priority to that of the continuous method; since the first constitutes information of greater objectivity and can therefore serve as a reference point to determine if there are missing or surpluses in the inventories, which after being well purified, can be adjusted through the cost of sale account and the inventory account accordingly if the permanent inventory turns out to be greater than the physical one, the cost of sale account must be <u>debited</u> for the amount of the difference, while the inventory account will receive a <u>credit</u> for the same value.
Answer:
to attract customers
Explanation:
they are put on places where people are many and they can acces the advertisement easily
