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3 years ago

When reporting inventory using the lower of cost or market, market should not be less than:

Business

1 answer:

Natali5045456 [20]3 years ago

3 0

Answer:

Net realizable value less a normal profit margin.

Explanation:

Lower of cost or market rule of inventory states that cost of inventory recorded must be that at which cost is lower, and the original cost is the current market price.

This occurs when the inventory has become obsolete, market price has declined, or inventory has deteriorated

Net realisable value is defined as selling price minus estimated cost of completion.

So the market value should not be less than net realizable value less a normal profit margin.

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Fixed assets. A a building is one example. B spreading costs over time

Naya [18.7K]

Answer:

A a building is one example

Explanation:

Assets are items that have value and is used by a business to generate profit.

There are two types of assets: the current assets and fixed assets.

Current assets are those that can be used or consumed within a year. They include cash, accounts receivable, marketable securities, and prepaid expenses.

Fixed assets are assets that are used by a business for a long period of time.

They can be tangible such as buildings, equipment, and land.

They can also be intangible for example copyright, patents, and trademarks.

In this instance a building is an example of a fixed asset.

6 0

3 years ago

Read 2 more answers

Check #1111 for $19.72, check #1112 for $9.50, and check #1113 for $35.00 have not cleared the bank. what is the total amount of

andreev551 [17]

19.72
9.50
+ 35.00
$ 64.22 total outstanding checks

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3 years ago

ABC opened for business on January 1, 2018, and paid for two insurance policies effective that date. The liability policy was $5

Whitepunk [10]

Answer:

The balance in ABC's Prepaid insurance-account as on Dec 31, 2018 is $27,000

Explanation:

Liability policy = ($54,000 / 18) × 6 months

Liability policy = $18,000

Crop damage policy = ($18,000 x 12 / 24)

Crop damage policy = $9,000

ABC's Prepaid insurance-account balance as on Dec 31, 2018 = $27,000

Thus,

Total Liability insurance period = 18

Now,

Expired period period - 12 months ( Jan 1, 2016 to Dec 31, 2016 )

Unexpired period = (18 - 12) months = 6 months

4 0

3 years ago

Loger's, a high-end apparel company in Bruslon, an Asian country, cuts back on production as consumers start turning to basic pr

eimsori [14]

Answer:

d. economic contraction

Explanation:

Contraction is in economics means it is business cycle phase where the overall economu should be fall. Also the contraction should arise when the cycle of the business is in peak but it should be prior to became as a trough

So at the time of economic contraction, the company normally took the measures of the cost cutting

So as per the given situation, the option d is correct

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3 years ago

How do you derive consumer equilibrium is the cardinal utility approach

solniwko [45]

Answer:

According to utility analysis, the consumer will be in equilibrium when he is spending money on goods in such a way that the marginal utility of each good is proportional to its price. Let us assume that, in his equilibrium position, consumer is buying q1 quantity of a good X at a price P1.

Explanation:

please mark as brainliest

7 0

3 years ago