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lozanna [386]
3 years ago
9

Robyn's Retail had 500 units of inventory on hand at the end of the year. These were recorded at a cost of $19 each using the la

st-in, first-out (LIFO) method. The current replacement cost is $17 per unit. The selling price charged by Robyn's Retail for each finished product is $27. In order to record the adjusting entry needed under the lower-of-cost-or-market rule, the Merchandise Inventory will be ________. Group of answer choices debited by $8,500 credited by $8,500 debited by $1,000 credited by $1,000
Business
1 answer:
podryga [215]3 years ago
8 0

Answer:

Credit inventory 1000 and debit COGS 1000

Explanation:

19*500=9500 <price it is recorded at currently

The rule requires lower cost - market vs. price. Since market cost is lower, you  have to find out how much the ending inventory balance should be

17*500=8500

9500-8500=1000

The inventory booked should be lowered, thus requiring credit entry of 1000. Since it is a merchandise loss, it is counted towards cost of goods sold expense, thus debit

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During its first year of operations, Mack's Plumbing Supply Co. had sales of $3,250,000, wrote off $27,800 of accounts as uncoll
Nataly_w [17]

Answer:

$487,500

Explanation:

The write off does not affect the realizable value of accounts receivable . Neither total assets nor net income is affected by the write off or specific account. Instead both assets and net income are affected in the period when bad debts expense is predicted and then recorded with an adjusting entry.

Accounts Receivable                                                      $ 3250,000

Less Allowance for Doubtful Accounts    $ 3250,000*1% = 32,500

Estimated Realizable Accounts Receivable $ 3217500

But if the amount of the bad debts decreases or increases as is given below then the the income is also increased or decreased by the amount given

Bad debts = $ 32,500

Uncollectibles previously written off= $ 27,800

Difference $ 4700

Net income $ 487,500

Less Difference $ 4700

Reported Income $ 482,800

7 0
3 years ago
A company that produces a popular brand of pasta decides against increasing product price. instead, the management decides to de
12345 [234]
This strategy is an attempt to retain the consumers' perception of their product. Consumers' perception is a marketing concept that has to do with the impression that a company produces about its products. Customers perception is influenced by advertisements, reviews, social media, personal experiences, etc.
8 0
3 years ago
Why is participation in local organizations twice as high in the united states as it is in europe?
VARVARA [1.3K]

There is participation in local organizations twice as high in the united states as it is in Europe because there is more local control over policy in the United States than in Europe.

<h3>What is local control in the United States government?</h3>

Local control is used to make its own rules and regulations to maintain the legal powers of local governments from the state government.

  • State and local governments enact laws and regulations that define how economic activity takes place in the United States.
  • The United States decision about infrastructure, education, and many other areas are made by the state and local governments which makes the entire economy build the capacity to run longer.
  • Decisions made by the Policymakers about how to allocate resources to various sectors like education, transportation, or other public goods are crucial to the United States economy.

To learn more about Local Government of United States, refer to:

brainly.com/question/24250104

#SPJ4

4 0
2 years ago
Managers can increase their ability to make nonprogrammed decisions that will allow them to adapt to, modify, and even drastical
BabaBlast [244]

Answer:

organizational learning

Explanation:

Organizational learning -

It refers to the method of modifying and transferring new concepts or information , which improves the performance of the company , is referred to as organizational learning .

The method is very beneficial for the company , which includes the methods like increases in production , using innovative methods , betterment of the relation with the investors .

Hence , from the given information of the question ,

The correct term is organizational learning .

7 0
3 years ago
At the beginning of the recent period, there were 1,050 units of product in a department, 35% completed. These units were finish
White raven [17]

Answer:

Answer for the question:

At the beginning of the recent period, there were 1,050 units of product in a department, 35% completed. These units were finished and an additional 5,500 units were started and completed during the period. 1,000 units were still in process at the end of the period, 25% completed. Using the weighted average method, the equivalent units produced by the department were__________.

Is given in the attachment.

Explanation:

3 0
4 years ago
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