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
FinnZ [79.3K]
3 years ago
13

Given the acquisition cost of product ALPHA is $24, the net realizable value for product ALPHA is $23, the normal profit for pro

duct ALPHA is $1.00, and the market value (replacement cost) for product ALPHA is $21, what is the proper per unit inventory value for product ALPHA applying LCM? $23.00. $24.00. $21.00. $22.00.
Business
1 answer:
Novay_Z [31]3 years ago
4 0

Answer:

$22

Explanation:

Given that,

Acquisition cost of product ALPHA = $24

Net realizable value for product ALPHA = $23

Normal profit for product ALPHA = $1.00

Market value (replacement cost) for product ALPHA = $21

By applying LCM, the per unit inventory value is determined by deducting the normal profit from the Net realizable value for product.

Per unit inventory value:

= Net Realizable Value - Normal Profit

= $23 - $1.00

= $22

Therefore, the proper per unit inventory value for product ALPHA applying LCM is $22.00.

You might be interested in
This is one of the questions I have and I have no idea what they might be
Westkost [7]

Answer:

1) You get what you get and don't throw a fit?

2)Be patient???

I hope this helps TwT

6 0
2 years ago
Use the following information to answer the next two questions. Downey Company bought a delivery truck for $62,000 on January 1,
natita [175]

Answer and Explanation:

The computation of the depreciation expense and book value at the end of 2016 is shown below:

But before that first determine the cost of the asset which is

Cost of the asset is

= Purchase price + rear hydraulic  lift + sales tax

= $62,000 + $8,000 + $3,000

= $73,000

Now the depreciation expense is

= ($73,000 - $8,000) ÷ (10 years)

= $6,500

ANd, the book value is

= $73,000 - $6,500 × 2

= $60,000

7 0
3 years ago
Emerald Jewelery Store had a credit balance in interest payable of $200 at the beginning of the period, and a credit balance of
Evgesh-ka [11]

Answer:

Net income will be decreased by $150.

Explanation:

Given:

The credit balance of interest payable (Opening) = $200

Credit balance of interest payable (Closing) = $50

Net income will be decreased by $150.

Decreased net income = credit balance of payable (Opening)  - credit balance (Closing)

Decreased net income = $200 - $50

Decreased net income = $150

The interest of $150 was paid which would reduce the net profit.

7 0
3 years ago
Kokomochi is considering the launch of an advertising campaign for its latest dessert​ product, the Mini Mochi Munch. Kokomochi
Alla [95]

Answer:

Check Explanation.

Explanation:

Note that the amount are in millions(dollar).

Year one: the sales of Mini Mochi Munch = $ 8.8 million = 8.8, sales of other products = $ 1.7 million. Hence, the gross profit = (8.8 × 38%) + (8.8 × 23%) = 5.368.

The selling, general and administrative expenses = 4.9 and the depreciation is zero.

Then, the EBIT = the gross profit -selling, general and administrative expenses - Depreciation.

EBIT = 5.368 - 4.9 - 0 = 0.468.

Less income tax at 38% = 0.17784.

incremental earnings= EBIT - Less income tax at 38%.

incremental earnings = 0.468 - 0.17784.

Year two: the sales of Mini Mochi Munch = $ 6.8 million = 6.8, sales of other products = $ 1.7 million. Hence, the gross profit = (6.8 × 38%) + (6.8 × 23%) = 4.148.

The selling, general and administrative expenses = 0, and the depreciation is zero(0).

Then, the EBIT = the gross profit -selling, general and administrative expenses - Depreciation.

EBIT = 4.148 - 4.9 - 0 = −0.752.

Less income tax at 38% = −0.28576.

incremental earnings= EBIT - Less income tax at 38%.

incremental earnings = −0.752 - −0.28576 = −1.03776.

3 0
3 years ago
You are a newspaper publisher. You are in the middle of a one-year rental contract for your factory that requires you to pay $70
V125BC [204]

Answer:

First find the Average fixed cost per papper.

That is,

1. Fixed cost is -

, If sales fall by 20%

Then,

So AFC per papper rises from $1.95 to 2.437

2. The MC will be changes from this 20 % fall is

then

So the marginal cost are changes $1.95 to $2.88

3. Before the changes in cost

So the changes is

The amount changes from $2.40 to $2.88 per paper

Explanation:

5 0
3 years ago
Other questions:
  • In order to sell a product at a profit, the product must be priced higher than the total cost to build the unit, plus period exp
    12·1 answer
  • Your team is consulting with a local manufacturing company that has 1,200 employees and is the third largest employer in the are
    10·1 answer
  • An electronics firm produces smart phones for sale to the worldwide market.
    5·1 answer
  • On July 1, 2018, Crane Company issued for $9450000 a total of 90000 shares of $100 par value, 8% noncumulative preferred stock a
    7·1 answer
  • Suppliers will supply more of a good when the price of that good rises because the opportunity cost of producing that good has r
    10·1 answer
  • Qualitative characteristic being employed when companies in the same industry are using the same accounting principles. select a
    12·1 answer
  • A person appointed by the president to represent the united states in a foreign country is _____.
    14·2 answers
  • What do you call an economy in which the government- ideally- has nothing to say about what, how, and for whom goods are produce
    5·1 answer
  • Salt Foods purchases forty $1,000, 7%, 10-year bonds issued by Pretzelmania, Inc., for $37,282 on January 1. The market interest
    8·1 answer
  • 25 points and brianly
    10·2 answers
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!