Answer:
$20 million
Explanation:
The computation of the ending inventory if FIFO is used
= LIFO reserve + Ending inventory based on LIFO inventory
= $3 million + $17 million
= $20 million
We simply added the LIFO reserve and LIFO ending inventory so that FIFO ending inventory can be computed. Hence, we take all the items for the computation part.
Answer:
The contribution margin per unit is $5.33
Explanation:
Contribution margin per unit = Contribution margin/Number of units sold
= $80000/15000
= $5.3333
= $5.33
Therefore, The contribution margin per unit is $5.33
Answer:
Entries are given
Explanation:
We will record assets and expenses on the debit as they increase during the year and will record liabilities and capital on the credit side as they increase during the year or vice versa.
DEBIT CREDIT
April 01
Account Receivable $3,800
Sales $3,800
Apr - 01
Cost of Goods Sold $2,280
Merchandise $2,280
Apr - 04
Sales Return $460
Account Receivable $460
Apr - 04
Merchandise $276
Cost of Goods Sold $276
Apr - 08
Account Receivable $1,400
Sales $1,400
Apr - 08
Cost of Goods Sold $980
Merchandise $980
Apr - 11
Cash $3,340
Account Receivable $3,340