Answer:
External failure costs.
Explanation:
These are explained to be the faults or defects a customer finds out or see after receiving his good and leaves the factory or finds out when goods or services has been delivered to him/her.
This can be either internal or external. When seen to be an internal aspect of the failure, costs result from identification of defects before they are shipped to customers. Some of these could include rejected products, reworking of defective units, scrap and also downtime caused by quality problem. It is said that a firms appraisal activities creates chances greater than the chance of catching defects internally and the greater the level of internal failure costs. This is the price that is paid to avoid incurring external failure costs, which can be devastating.
Since the company is following a periodic inventory system, it has to use temporary accounts to record sales and purchases.
Transaction A
Purchases – Dr 860500
Accounts payable 860500
Transaction B
Accounts payable - Dr $111,600
Purchase returns $111,600
Transaction C
Accounts payable - Dr 748900
Discount received 14,978
Cash 733,922
Answer:
=E7*C2/2
Explanation:
The interest expense will be the carrying value of the bond times the effective interest rate.
On cell C8 we have the interest expense
On E7 we have the carrying value which is the outstanding balance.
Then, on C2 we got the effective rate
As this is an annual formula, we must divide by two to convert to semiannual rate.
A file is attached for how the excel sheet looks like
Check the price at other stores and check the price before adding profit
