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velikii [3]
3 years ago
14

The firm uses the periodic system and there are 20 units of the commodity on hand at the end of the year. What is the amount of

inventory at the end of the year according to the FIFO method?
a. $655
b. $620
c. $690
d. $659
Business
1 answer:
iren [92.7K]3 years ago
4 0

Answer:

c. $690

Explanation:

In FIFO method, A company can sell those products which it has purchased earlier.

Beginning Inventory  = 10 units x $30   = $ 300

First Purchase            = 25 units x $32  = $ 800

Second purchase      = 30 units x $34   =$1,020

Third purchase          = 10 units  x $35   =$  350

Total costs (75 units) = $2,470

As the firm uses FIFO inventory method, it has 20 inventory in hands,

Therefore, 10 units from the last purchase (third) and 10 units from second purchase will be remained unsold.

Hence, Ending inventory cost =

Second purchase 10 units x $34 = $340

Third purchase     10 units x $35 = $350

Total ending inventory cost       = $690

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Classify the following topics as relating to microeconomics or microeconomics.
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Answer:

Related to Micro Economics : A, B, C, E.

Related to Macro Economics : D.

Explanation:

Micro Economics is the study of a single individual consumer, producer, industry. Eg - Price of a good

Macro Economics is the study of all consumers, producers, industries of the economy at a whole. Eg - General Price level.

Both Micro Economics and Macro Economics deal with aggregates. But:- Micro Economic aggregates have lower level of aggregation & are contextually less related to wide total, than Macro Economics.

<u>Micro Economics </u>: 'A student's decision about how to allocate his time between studying two subjects' ; 'A firm's decision on which production method to use' :- are related to single economic units.

'The effect of rent control on the housing market' ; 'The effect of externality on the quantity produced by the market' :-  are related  to only those particular industry markets & not to economy as a whole.

<u>Macro Economics </u>: 'The effect of an increase in income tax on national income' :- is an impact of country's government policy at its whole national income.

5 0
2 years ago
For each macroeconomic viewpoint, identify whether it is a position held by classical economists, Keynesian economists, or monet
labwork [276]

Answer:

a. Classical theory

b. Monetarist school.

Explanation:

Classical theory assumes that the fall in aggregate demand will create temporary affect on employment and ;later in the long run economy will adjust itself and will be at full employment automatically. Keynesian theory believes that demand is the factor which drives the economy. If the economy is at recession then efforts should be made to increase demand which will turn the economy growth upright.

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2 years ago
An income statement for Sam's Bookstore for the first quarter of the year is presented below: Sam's Bookstore Income Statement F
nadezda [96]

Answer:

Contribution= $214,800

Explanation:

<em>Contribution margin ratio is the proportion of sales revenue that is earned as contribution. </em>

Unit sold = revenue / selling price = 880,000/55 = 16,000  units

Contribution = Sales revenue - variable cost

Variable  admin = 4% × 880,000= 35200

Variable selling = 5× 16,000 = 80,000

Contribution = Sales revenue - cost of goods sold - admin - selling

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Contribution= $214,800

5 0
3 years ago
An insurance policy with a higher premium most likely has ...
dimaraw [331]

I believe the answer is: A. Lower deductible

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5 0
3 years ago
Read 2 more answers
Steps in the Accounting Cycle Listed below, out of order, are the steps in an accounting cycle.
sasho [114]

Answer:

Steps in the Accounting Cycle

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3, 6, 2, 1, 4, 8, 5, 9, 7

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2, 3, & 6

Explanation:

The correct ordered steps in the account cycle are:

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2. Post journal entries to general ledger accounts.

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4. Journalize and post adjusting entries.

8. Prepare the adjusted trial balance.

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9. Journalize and post closing entries.

7. Prepare the post-closing trial balance.

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