Answer:
B. $ 17 comma 100
Explanation:
The movements in inventory account is usually as a result of purchases, sales, returns etc. These are the factors that bring about a difference between the opening and closing balances in the inventory account.
Given that
Beginning Finished Goods Inventory = $14000
Ending Finished Goods Inventory = $14500
Cost of Goods Manufactured = $17600
Sales revenue = $15000
Let the cost of goods sold be B
$14000 + $17600 - B = $14500
B = $14000 + $17600 - $14500
B = $17100
The cost of goods sold is $17100
Answer:
b. Credit to Fair value adjustment for $5,000
Explanation:
Particulars Amount
Beginning balance of fair value adjustment $20,000
Less: Unrealized gain on Dec 31, year 3 <u>$15,000</u> ($515,000-$500,000)
Credit to Fair value adjustment <u>$5,000</u>
So, Credit to Fair value adjustment for $5,000 will be included in the related journal entry dated December 31, Year 3.
Answer:
False
Explanation:
If a firm sells on terms of 2/10, net 30 days, and its DSO is 28 days, then the fact that the 28-day DSO is less than the 30-day credit period tell us that the credit department is functioning efficiently and there are no past due accounts. This is a false statement.
