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
Illusion [34]
3 years ago
12

Amber is in charge of preparing an annual budget for her company. As part ofthe budgeting process, she must estimate cost of goo

ds sold and ending inventory. Which of the following statements is correct regarding the use of the gross profit method?
-Amber may utilize the gross profit method to estimate ending inventory and cost of goods sold
Business
1 answer:
galben [10]3 years ago
6 0

Complete question:

amber is in charge of preparing an annual budget for her company. as part of the budgeting process, she must estimate COGS and ending inventory. which of the following statements is correct regarding the use of the gross profit method

amber must take a physical inventory to determine ending inventory and COGS

amber may utilize the gross profit method, but must also take a physical inventory

amber may utilize the gross profit method to estimate ending inventory and COGS

Answer:

Amber may utilize the gross profit method to estimate ending inventory and COGS

Explanation:

The gross profit method is a strategy used to measure the value at the end of the product. The method may be used with monthly accounting statements where a physical warehouse is not feasible.

(However, it is not a substitution for an actual physical inventory.) It is often used to measure the volume of lost products incurred by burglary, accident or other disasters.

For example, if a business buys products of $80 and sells them for $100, the gross profit is $20.

You might be interested in
"A company offers ID theft protection using leads obtained from client banks. Four employees work 40 hour a week on the lead, at
chubhunter [2.5K]

Answer:

1.67

Explanation:

The computation of multi-factor productivity is shown below:-

Multi-factor productivity = Potential leads × Number of workers × Fee × Conversion percentage ÷ Labor cost + Material cost + Overhead cost

= 3,500 × 4 × $60 × 0.03 ÷ 4 × 40 × $35 + $1,500 + $8,000

= 25,200 ÷ 15,100

= 1.67

Therefore for computing the multi-factor productivity we simply applied the above formula.

7 0
3 years ago
Workers are constantly adjusting to changes in technology and society that affect work. In order to keep up with all of these ch
lukranit [14]

B: Because if you're only caught up with what you had when you were young, you won't know how to effectively use todays inventions to your advantage.
8 0
3 years ago
Read 2 more answers
ABC, Inc. produces a product that has a variable cost of $2.50 per unit. The company's fixed costs are $30,000. The product is s
Alex777 [14]

Answer:

The amount of sales that will be necessary to earn the desired profit is 16000 units

Explanation:

To get the amount of sales to earn $10000, we make the following equation.

Profit =Sales -variable cost-fixed cost

Profit=10000

Sales=$5.00x

Variable cost= $2.50x

Fixed cost=$30,000

Replacing,

10000=5x-2.5x-30000

10000+30000=2.5x

x=40000/2.5

x=16000

5 0
3 years ago
Studies indicate that the price elasticity of demand for beer is about 0.9. A government policy aimed at reducing beer consumpti
Aleonysh [2.5K]

Answer:

The government policy should have reduced beer consumption by 0.6 or 60%

Explanation:

Mid point formula calculates the ratio of mid point of change in demand and change in price to their average value. Then these changes are used in the calculations of elasticity of demand.

According to given data:

Elasticity of demand = 0.9

Midpoint of price  = (20-10) / [(20+10)/2] = 10 / 15 = 0.6667

Elasticity of Demand = Midpoint of demand / Midpoint of price

0.9 = Midpoint of demand / 0.6667

Midpoint of price = 0.9 x 0.6667 = 0.6

Change in demand is should reduce the consumption by 0.6 or 60%.

4 0
3 years ago
Read 2 more answers
Suppose the college administrators estimate that the beautification initiative will cost $2,040. To decide whether the initiativ
tekilochka [14]

Answer:

420 x 12 = 5,040

Explanation:

Because the estimated benefit is greater than the cost, the college administrators should undertake the beautification initiative.

8 0
3 years ago
Other questions:
  • For seven years, Bonnie Patterson has been a manager at Wayne and Watson, a legal consultancy firm. A good part of her workday i
    13·1 answer
  • A check involves three parties. the person who orders the bank to pay a certain amount of money is called the drawer. drawee. pa
    15·2 answers
  • You can buy or sell the £ spot at $1.98 to the pound. You can buy or sell the pound one-year forward at $2.01 to the pound. If U
    13·1 answer
  • Busch Company has these obligations at December 31. For each obligation, indicate whether it should be classified as a current l
    9·1 answer
  • Which of the following statements is true of direct marketing? Direct marketers can target only large groups of customers whose
    7·1 answer
  • From the choice of simple moving average, weighted moving average, exponential smoothing, and linear regression analysis, which
    13·1 answer
  • The purchase price of a car is $25,000. Mr. Smith makes a down payment of $5000 and borrows the balance from a bank at 6% nomina
    7·1 answer
  • Prior to the financial meltdown, bond ratings agencies were accused of having _____ because they were paid by the organizations
    12·1 answer
  • A firm is considering a project that will generate perpetual cash flows of $50,000 per year beginning next year. The project has
    13·1 answer
  • The process of identifying individuals or companies who may need the selling firm's products or services is known as?
    8·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!