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
frozen [14]
3 years ago
15

The gross profit method of inventory valuation is not valid when a. there is substantial increase in the quantity of inventory d

uring the year. b. there is substantial increase in the cost of inventory during the year. c. the gross margin percentage changes significantly during the year. d. all ending inventory is destroyed by fire before it can be counted.
Business
1 answer:
lukranit [14]3 years ago
6 0

Answer:

The gross profit method of inventory valuation is not valid when

c. the gross margin percentage changes significantly during the year.

Explanation:

Gross Profit Method:

It is such method that is used to determine the value of ending inventory in a specific period.

  • The option a, b and d are valid as this method is used when there is substantial increase in the quantity of inventory or in the cost of the inventory during the year. Moreover, it is also used to calculate the amount of ending inventory that is effected by a disaster such as fire, theft etc.
  • The option c is not valid because it is not used when the gross margin percentage changes significantly during the year as gross profit method is only used to determine the amount of an ending inventory.

You might be interested in
How do we track stock market performance?
Lynna [10]
Go to the stock market holders, or look it up online

Hope this helps!
3 0
3 years ago
Read 2 more answers
A firm plans to begin production of a new small appliance. The manager must decide whether to purchase the motors for the applia
blondinia [14]

Answer:

If the firm is going to need less than 50,000 motors, they should purchase them from the outside vendor.

If the firm is going to use between 50,000 to 59,999 motors, it should use process A.

If the firm expects to use 60,000 or more motors per year, it should use process B.

Explanation:

Process A:

contribution margin per unit = $11 - $7 = $4

break even number of units = $200,000 / $4 = 50,000 units

Process B:

contribution margin per unit = $11 - $8 = $3

break even number of units = $180,000 / $3 = 60,000 units

8 0
3 years ago
Changes in the equilibrium interest rate will Group of answer choices . affect both the size of the domestic output and the allo
vodomira [7]

Answer:

Changes in the equilibrium interest rate

  • affects both the size of the domestic output and the allocation of capital goods among industries.

Explanation:

Changes in interest rates affects the demand for goods and services and, thus, aggregate investment spending. A decrease in interest rates lowers the cost of borrowing, which encourages industries to increase investment spending.  

The aggregate demand is determined by consumption demand and investment demand. When the rate of interest falls the level of investment increases and vice versa

An increase in the equilibrium interest rate affects demand for money. This increase in demand raises the equilibrium interest rate.

Households and businesses then try to decrease their cash holdings by purchasing bonds affecting both the size of the domestic output and the allocation of capital goods among industries.

The equilibrium interest rate changes with the economy and monetary policy.

6 0
3 years ago
What happens if there is zero inflation and no standard cost of living?
8_murik_8 [283]
This means that money is never circulated
3 0
3 years ago
Henry Ford is known for the introduction of the assembly line and the Model T. As his manufacturing effort expanded, however, he
Alecsey [184]

Answer:

Fordism, a specific stage of economic development in the 20th century. Fordism is a term widely used to describe (1) the system of mass production that was pioneered in the early 20th century by the Ford Motor Company or (2) the typical postwar mode of economic growth and its associated political and social order in advanced capitalism.

Explanation:

Good luck

4 0
3 years ago
Other questions:
  • Overall, more managerial opportunities are available for ________ women than for women in most other countries.
    15·1 answer
  • What would be the journal entry for each of the listed transactions? For each transaction, how Cedar Fair’s assets, liabilities,
    7·1 answer
  • Wall Street financial services firms and banks rewarded employees for developing "innovative" new financial investment vehicles
    12·1 answer
  • suppose company has a 32% income tax rate, a contribution margin ratio of 45% and fixe costs of 664,000. what sales volume is ne
    13·1 answer
  • Which function is one that pertains to the Federal Reserve System?I. conducting fiscal policy.II. examining and supervising comm
    14·1 answer
  • Peters, Chong, and Aaron are dissolving their partnership. Their partnership agreement allocates each partner an equal share of
    9·1 answer
  • Bond valuationlong dashSemiannual interest Find the value of a bond maturing in 4 ​years, with a ​$1 comma 000 par value and a c
    7·1 answer
  • A bond that pays interest semiannually has a coupon rate of 5.44 percent and a current yield of 4.91 percent. The par value is $
    13·1 answer
  • Corporate strategy for a diversified or multi-business enterprise chiefly concerns the development of a strategic vision a set o
    6·1 answer
  • Select the correct answer from each drop-down menu.
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!