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Vesnalui [34]
3 years ago
6

Determine the formula, then calculate ending direct materials total cost.

Business
1 answer:
forsale [732]3 years ago
8 0
<span>Fortunately, this is a simple calculation to compute; use the value of your starting direct materials inventory, your direct materials purchased and your direct materials used to find the ending inventory of direct materials.</span>
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The 2016 income statements of Leggett &amp; Platt, Inc. report net sales of $3,749.9 million. The balance sheet reports accounts
sergejj [24]

Answer:

option (A) 49 days

Explanation:

Data provided:

Net sales = $3,749.9 million

Accounts receivable on December 31, 2016 = $486.6 million

Accounts receivable on December 31, 2015 = $520.2 million

Now,

The duration from December 31, 2015 to December 31, 2016 = 365 days

Days sales outstanding = \frac{\textup{Average accounts receivable}}{\textup{Credit sales}}\times Number of days

or

Days sales outstanding = \frac{\frac{\$486.6 + \$520.2}{2}\textup{million}}{\$\textup{3,749.9 million}}\times365

or

Days sales outstanding = \frac{\$\textup{503.4 million}}{\$\textup{3,749.9 million}}\times365

or

Days sales outstanding = 48.99 ≈ 49 days

Hence,

The correct answer is option (A) 49 days

5 0
3 years ago
A business' last line of defense against risks that cannot be controlled or avoided by other risk management practices is this t
natima [27]

Answer: A business continuity plan

                           

Explanation: Business continuity planning refers to the procedure involved in creating a risk reduction and recovery scheme for a corporation from possible hazards.

The strategy helps to ensure the protection of management and resources and the ability to operate rapidly in the event of an emergency. The BCP is usually designed in ahead of time and includes insight from relevant parties and staff.

BCPs are an essential part of any undertaking. Threats and disturbances result in revenue shortfall and increased costs, resulting in a decline in productivity. And companies can not rely solely on insurance since it does not cover all the costs and the clients that move to the contest.

5 0
3 years ago
Equipment with an estimated market value of $30,000 is offered for sale at $45,000. The equipment is acquired for $15,000 in cas
ra1l [238]

Answer:

$35,000

Explanation:

According to accounting standard  IFRS 16 Property, Plant and Equipment is initially recorded at its cost. Estimated market value and offer price will not be considered to record this transaction. Cost incurred for this equipment is as follow:

Cash payment = $15,000

Note payable = $20,000

Total Cost  = $15,000 + $20,000 = $35,000

6 0
3 years ago
Suppose interest rates in the UK fall. This will affect the side of the foreign exchange market and cause exchange rates to
maw [93]

A fall in the interest rates in the UK, would cause the exchange rate of the UK to decline.

<h3>What is the impact of a fall in interest rate on exchange rate?</h3>

Exchange rate is the rate at which one currency is exchanged for another currency. Interest rate is the return earned by investors for allowing business owners use their funds.

When interest rate declines, the return earned by investors would fall. This would discourage investors from investing. This would lead to a decline in the demand for the UK currency. This would depress the exchange rate.

To learn more about exchange rate, please check: brainly.com/question/25780725

5 0
2 years ago
Ramirez Corporation is subject to income tax only in State A. Ramirez generated the following income and deductions. Federal tax
Alborosie

Answer:

a. $495,000

Explanation:

Data provided

Federal taxable income = $500,000

State A income tax expense = $45,000

Depreciation Modification = $300,000, $250,000

The computation of taxable income is shown below:-

Federal taxable income + State A income tax expense - Depreciation Modification

= $500,000 + $45,000 - ($300,000 - $250,000)

= $545,000 - $50,000

= $495,000

8 0
3 years ago
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