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JulijaS [17]
3 years ago
11

Royal Gorge Company uses the gross profit method to estimate ending inventory and cost of goods sold when preparing monthly fina

ncial statements required by its bank. Inventory on hand at the end of October was $58,500. The following information for the month of November was available from company records:
Purchases: $114000
Freight-in: $3900
Sales: $188000
Sales Returns: $5200
Purchase Returns: $4300

In addition, the controller is aware of $8600 of inventory that was stolen during November from one of the company's warehouses.

Required:

a. Calculate the estimated inventory at the end of November, assuming a gross profit ratio of 40%.
b. Calculate the estimated inventory at the end of November, assuming a markup on cost of 100%.
Business
1 answer:
Nastasia [14]3 years ago
7 0

Answer:

Please refer the attachment to have the solution with explanation

Download xlsx
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Match each scenario with its effect on the PPC.
Igoryamba

Answer

Shifts PPC to the right-A new technology is invented to produce more food grains in the country.

point on original PPC- the country is using all its resources efficiently.

shifts PPC to the left- many of the country's young people died in an earthquake

unattainable point- the country plans to produce with the available resources

Explanation

PPC -This is the short form of Production possibility curve. This is an indicator which shows the maximum production of two or more goods and services which can be achieved in the economy of a nation when the resources are well distributed and fully utilized in a productive manner. The causes of increment in output where the curve may shift to left or right or attainable point and even to the original PPC is due to the distraction of capital equipment in the country.This depends on how the country is using its resources.

7 0
4 years ago
Read 2 more answers
Whipple Corp. just issued 260,000 bonds with a coupon rate of 5.90 percent paid semiannually that mature in 25 years. The bonds
castortr0y [4]

Answer:

Amount raised = $236,027.47  

Explanation:

<em>The value of the bond is the present value(PV) of the future cash receipts expected from the bond. The value is equal to present values of interest payment plus the redemption value (RV). </em>

Value of Bond = PV of interest + PV of RV

The value of bond for Whipple Corp can be worked out as follows:

Step 1  

PV of interest payments

Semi annul interest payment  

= 5.6% × 2000 × 1/2 = 56

Semi-annual yield = 6.34%/2 = 3.17 % per six months

Total period to maturity (in months)

= (2 × 25) = 50 periods

PV of interest =  

56 × (1- (1+0.0317)^(-50)/0.0317)= 1395.49

Step 2  

PV of Redemption Value

= 2000 × (1.0317)^(-50)

= 420.105

Price of bond

= 1395.49 + 420.10

= $1815.60

The amount raised = price per bonds× Number of unit

= $1815.595× 260,000/2000=  $236,027.47  

Amount raised = $236,027.47  

7 0
3 years ago
A monopolist sells in two geographically divided markets, the East and the West. Marginal cost is constant at $50 in both market
noname [10]

Answer:

A) QE = 400, PE = 250

     QW = 325, PW = 375

b) east market has more elastic market demand

Explanation:

Given data :

Marginal cost = $50 ( both markets )

demand and marginal revenue in each market are given differently

a) Determine/find the profit-maximizing price and quantity in each market

For east market :

50 = 450 - QE

hence QE = 450 -50 = 400

since QE = 400 ( quantity for east market )

400 = 900 - 2PE

PE = 250 ( PROFIT maximizing price for east market )

For west market

50 = 700 - 2QW

Hence QW = 325

since QW = 325

325 = 700 - pw

PW = 375

B) The market in which demand is more elastic is the east market because the quantity demanded is higher and also the profit maximizing price is lower as well

5 0
4 years ago
4.Swan Manufacturing is approached by a customer to fulfill a one-time-only special order for a product similar to one offered t
AleksAgata [21]

Answer:

the full cost of the product per unit if the marketing costs is $3,000 is $7,025.

Explanation:

The cost of the special order will exclude the Fixed manufacturing support as these are common whether the order is accepted or not thus irrelevant. Remember to include the marketing costs as an additional cost.

Calculation of cost of the product :

Direct materials                                $1,825

Direct labor                                         $900

Variable manufacturing support     $1,300

marketing costs is                           $3,000

Total                                                 $7,025

Conclusion :

Thus, the full cost of the product per unit if the marketing costs is $3,000 is $7,025.

8 0
3 years ago
If all bloops are razzies and all razzies are lazzies, then are all bloops definitely lazzies?
konstantin123 [22]
TRUE-
<span>If all bloops are razzies, you can put the bloops entirely inside the razzie set, and if all razzies are lazzies you can safely put the razzie blob entirely inside the lazzie set. It makes the whole thing a lot easier to visualize.</span>

5 0
3 years ago
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