Answer:
ignored the concept of scarcity
Answer: $68,000
Explanation:
If the inventory that remains is the $46,000 then that means that the cars costing $33,000 and $24,000 have been sold.
With specific identification, the actual prices of the stock are used so the cost of goods sold is:
= 24,000 + 33,000
= $57,000
The gross profit is therefore:
= Sales - Cost of goods sold
= 125,000 - 57,000
= $68,000
Answer:
Correct answer is C (just took the test)
Explanation:
Answer: $4
Explanation:
The Bottle division is said to be able to meet all excess demand outside as well as that of the Cologne Division.
When this is the case in a company, individual divisions are allowed to transfer to each other at a rate equal to their Variable Costs. This is the general rule.
The Variable Costs for the containers is $4 so that is the transfer price as well.
Answer:
B. $60,000
Explanation:
4 office units x $ 2,500 per month x 12 months = 120,000
Vanccy and collection losses 15%
120,000 x 15% = 18,000
Then operating expenses for $ 42,000
The capital expenditures aren't considered expenses for the period.
120,000 - 18,000 - 42,000 = 60,000
