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Bad White [126]
3 years ago
5

Inventory Ratio Calculations

Business
1 answer:
tatuchka [14]3 years ago
7 0

Answer:

Inventory Turnover Ratio for 2008=  3.223 Times

Inventory Turnover Ratio for 2009= 3.91 times

Explanation:

Inventory Turnover Ratio=  Cost of Goods Sold / Average Inventories

Inventory Turnover Ratio for 2008=  $632,000/ $201,000 + 191,100/2

Inventory Turnover Ratio for 2008=  $632,000/196,050

Inventory Turnover Ratio for 2008=  3.223  times

Inventory Turnover Ratio for 2009=  $ 731,000/191,100 + 182,600/2

Inventory Turnover Ratio for 2009=  $ 731,000/ 186,850

Inventory Turnover Ratio for 2009= 3.91 times

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Leading economic indicators
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Answer:

B. New applications for unemployment insurance

D. Stock prices

Explanation:

Unemployment benefits claims is one of the most powerful leading economic indicators, because it can predict, with a high degree of accuracy, the unemployment rate of the next economic periods.

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3 years ago
Exercise 5-8 Equivalent Units; Cost per Equivalent Unit; Assigning Costs to Units-Weighted-Average Method [LO5-2, LO5-3, LO5-4]
S_A_V [24]

Answer:

1. Calculate the first production department's equivalent units of production for materials and conversion for May.

  • materials = 275,000 + 50,000 = 325,000
  • conversion = 275,000 + 12,500 = 287,500

2. Compute the first production department's cost per equivalent unit for materials and conversion for May.

  • materials = $169,000 / 325,000 = $0.52
  • conversion = $253,000 / 287,500 = $0.88

3. Compute the first production department's cost of ending work in process inventory for materials, conversion, and in total for May.

  • materials = 50,000 x $0.52 = $26,000
  • conversion = 12,500 x $0.88 = $11,000
  • total = $37,000

4. Compute the first production department's cost of the units transferred to the next production department for materials, conversion, and in total for May.

  • materials = 275,000 x $0.52 = $143,000
  • conversion = 275,000 x $0.88 = $242,000
  • total = $385,000

Explanation:

Beginning WIP 70,000 units

materials $56,100

conversion $16,400

Ending WIP 50,000 units

100% completed for materials (50,000 EU)

25% completed for conversion (12,500 EU)

units started 255,000

total units transferred out 275,000

materials cost added during the period = $112,900

conversion cost added during the period = $236,600

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3 years ago
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Sholpan [36]

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6 0
3 years ago
Read 2 more answers
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