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natali 33 [55]
4 years ago
11

Doris recently started her position at Monro Company. The company uses the dollar-value LIFO inventory method. On her first day

at work, Doris was asked to calculate the cost index for a new inventory layer. The company's records reveal that the cost in terms of the base year was $50,000 and the cost in terms of the layer year was $100,000. What is the cost index for the new layer
Business
1 answer:
Furkat [3]4 years ago
7 0

Answer

2

Explanation:

Cost index in dollar - value LIFO method is used to determine the change in prices since the beginning of he base year by comparing the year end inventory to the base layer cost.

The extended cost of the ending inventory at the most recent  price is divided by the cost of the ending inventory at the base year price.

Workings

Cost in term of base layer = $50,000

Cost in term of the layer layer $100,000

Cost index = 100000/50000 = 2

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Answer:

We will be able to purchase fewer goods and services.

Explanation:

Appreciation of a currency in terms of another currency implies an increase in the worth of a currency in terms of another currency.

An appreciation in the value of peso in terms of dollars means that the worth of peso has increased in terms of dollar.

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Why should "for deposit only" be written in a check along with the back account number when endorsed?
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