Answer:
$3,028
Explanation:
As we know that
The inventory should be valued at cost or net realizable value which ever is lower
(A) (B) (A × B)
Product Quantity Lower value of cost or NRV Amount
Gloves 16 $121 $1,936
Shoes 26 $21 $546
Hats 13 $42 $546
Total amount $3,028
Hence, the inventory recorded amount is $3,028
Answer:
The correct answer is E: provides a means of determining the minimal number of units that need to be sold to prevent a financial loss.
Explanation:
The break-even analysis is a tool that provides the level of units or sales necessary to cover both variable and fixed costs. It can include profit. The formula is:
Break-even point= fixed costs/ contribution margin
Break-even point (dollars) fixed costs/ contribution margin ratio
Answer:
The correct answer is letter "B": Only two points are used to develop the cost function.
Explanation:
In cost accounting, the High-Low Method is used to separate fixed and variable costs using the minimal quantity of information possible. Implementing this approach means taking the highest level of production and the lowest level of production and compare the costs at each point. The Least Squares Method, instead, is a set of complex mathematical calculations considering a wider number of dependent variables.
Answer:
C. Risk Management Association provides common-size statements for most industries.
Explanation:
Benchmarking is a process of comparing a company's performance or processes to the best practices in the industry or a competitor. Benchmarking is a way to determine company's abilities and weaknesses, in order to improve its internal processes and functions.
The industry average serves as a useful tool for the companies to benchmark their performance. For this purpose Risk Management Association provides common-size statements for most industries to evaluate their company.
Answer:
The sentence that applies the correct number style is:
c. Dan Yannotti, Director of Health Initiatives, turns 32 this year.
Explanation:
Sentence A's number style should have been formatted like: "More than $5 million ..." Alternatively, it could be formatted as "Five Million Dollars."
Sentence B's number style should have been formatted like: "27% of our ...."
This leaves sentence C as the sentence that applies the correct number style.