1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
dangina [55]
4 years ago
3

Ryan Distribution Co. has determined its December 31, 2014 inventory on a FIFO basis at $490,000. Information pertaining to that

inventory follows:Estimated selling price $510,000Estimated cost of disposal 20,000Normal profit margin 60,000Current replacement cost 450,000Ryan records losses that result from applying the lower-of-cost-or-market rule. At December 31, 2014, the loss that Ryan should recognize is:a. $0.b. $10,000.c. $20,000.d. $40,000.
Business
1 answer:
luda_lava [24]4 years ago
5 0

Answer:

d. $40,000.

Explanation:

We must compare the cost of book inventory with the replacement cost and the net realizable value. From this option we must pick the lowest.

book value 490,000

net realizable value:

510,000 - 20,000 = 490,000

replacement cost (market cost) 450,000

The lowest option is the replacement cost. Thus, the loss for holding inventory is:

book value - replacement cost: 490,000 - 450,000 = 40,000

You might be interested in
Creek Corporation had $210,000 of active income, $45,000 of portfolio income, and a $230,000 passive activity loss during the ye
Mekhanik [1.2K]

Answer:

given statement is false

Explanation:

given data

active income = $210,000

portfolio income = $45,000

passive activity loss = $230,000

deduct passive activity loss = $230,000

solution

as per Topic Passive Activities

we know that Losses and Credits in IRS state here that Loss from passive activity is not allowed for current year

and here this loss will be carry forward to the next taxable year

as a similar rule is applicable to give credits from passive activities

so that given statement is false

7 0
3 years ago
After screening the best ideas for new products, D'Andre prepares a clear product description and builds a product model. He is
rewona [7]

Answer:

This question is incomplete, it misses the options. The options are the following:

a) Commercialization

b) Concept testing

c) Prototype development

And the correct answer is the option C: Prototype development.

Explanation:

On the one hand, the stage of<em> "product screening" </em>is when the company and its employees can pare down the list of viable ideas to the ones that will only match the organization's strategic goals that they are looking for.

On the other hand, the<em> "prototype devolopment" </em>stage involves the fact of getting those viable ideas into touchable models that the managers can try in real life experience more than just in the papers. Therefore that in this stage is when the employees build a product model based on clear product descriptions.

8 0
4 years ago
Steve is a baseball fan. He regularly goes to games right after work without eating food. Therefore, he hopes that the food and
marishachu [46]

Answer:

The answer is B.Personal needs.

Explanation:

3 0
4 years ago
If the unemployment rate is 9 percent and the natural rate of unemployment is 5 percent, then the:___________. A. frictional une
professor190 [17]

Answer:

C. cyclical unemployment rate is 4 percent.

Explanation:

The cyclical unemployment is associated with business cycles of recessions and expansions. The actual unemployment rate is given by the natural rate of unemployment added to the cyclical unemployment rate. In this case, the cyclical unemployment rate is:

C = 9\%-5\% = 4\%

The answer is C. cyclical unemployment rate is 4 percent.

6 0
4 years ago
inflation can be measured by the a. percentage change in the price of a specific commodity. b. percentage change in the consumer
Brut [27]

Answer:

b. percentage change in the consumer price index.

Explanation:

Inflation is the increase in the price of a commodity, it is expressed as a percent change in the price of an item. We can calculate the inflation using percentage change in consumer price index.

Consumer price index measure the percentage of change in the price of a market basket of consumer goods and services.

6 0
4 years ago
Other questions:
  • SaaS refers to:
    7·1 answer
  • The _________ is a central location that houses Joint Information System (JIS) operations and where public information staff per
    15·1 answer
  • Emma is a marketing manager at a multinational corporation. She gets anxious when her job gets stressful, and she tends to get a
    14·1 answer
  • According to the product life cycle model, profits tend to: remain relatively constant until the decline stage, when they begin
    14·1 answer
  • Steve was wrongfully terminated by Sam, his former boss at Big Flop, Inc., falsely stating that Steve embezzled money. When Stev
    10·1 answer
  • What is psychology? ​
    6·2 answers
  • Cost Flow Relationships
    10·1 answer
  • Sodium Services, Inc. (SSI) sponsors a SIMPLE for its employees with a 100% match up to 3% of compensation. Mary, age 42, has be
    11·1 answer
  • A government leader determines that the 5% unemployment rate is too high. She asks her staff to research policy options to reduc
    9·1 answer
  • Hernandez Company had the following transactions during 2020, its first year in business:
    6·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!