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galina1969 [7]
3 years ago
5

The inventory of Royal Decking consisted of five products. Information about the December 31, 2018, inventory is as follows: Per

Unit Product Cost Selling Price A $ 200 $ 220 B 240 260 C 120 240 D 160 300 E 100 140 Costs to sell consist of a sales commission equal to 10% of selling price and shipping costs equal to 5% of cost. Required: What unit value should Royal Decking use for each of its products when applying the lower of cost or net realizable value (LCNRV) rule to units of ending inventory
Business
1 answer:
vichka [17]3 years ago
3 0

Answer:

Explanation:

    Selling Price  Commission   Shipping       NRV                   Cost

A         220       220*10% = 22     200*5% = 10  (220-22-10) 188   200

B         260        260*10%=26       240*5%=12  (260-26-12) 222    240

C         240        240*10%=24        120*5%=6      (240-24-6) 210    120

D         300        300*10%=30        160*5%=8    (300-30-8) 262     160

E         140          140*10%= 14         100*5%=5    (140-14-5) 121        100

Therefore ,the unit inventory valuation at lower of cost or net realizable value =

Products         Valuation

A                           188

B                           222

C                           120

D                           160

E                            100

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Explanation:

<u> Paraffin Wax</u>

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6 0
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How long would it take for Nico to save an adequate amount for retirement if he deposits​ $40,000 per year into an account begin
dalvyx [7]

Answer: It will take Nico approximately 12 years

Explanation:

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40000((1.12)^n - 1) = 1000000 x 0.12

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6 0
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Read 2 more answers
Retained earnings:40)A)Generally consists of a company's cumulative net income less any net losses and dividends declared since
levacccp [35]

Answer:

The correct answer is letter "A": Generally consists of a company's cumulative net income less any net losses and dividends declared since its inception.

Explanation:

Retained Earnings is the portion of the net earnings of a company that it does not pay as dividends to stakeholders. The corporation retains this money and reinvests it or uses it to pay off a portion of its debt. <em>Retained earnings are calculated by taking the retained earnings at the beginning of the period and adding the current year's net income. Then, net losses are subtracted. The final result represents the retained earnings of the period.</em>

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Answer:

The preparation is presented below:

Explanation:

The preparation of the retained earnings statement for the year ended July 31, 2018 is presented below:

                                        Cali ​Communications'

                              Retained Earning statement

                           For the year ended July 31, 2018

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Less: Cash Dividend paid -$0

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