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Anni [7]
3 years ago
7

Tamarisk, Inc. had the following inventory transactions occur during 2017: Units Cost/unit Feb. 1, 2017 Purchase 94 $94 Mar. 14,

2017 Purchase 161 $98 May 1, 2017 Purchase 114 $102 The company sold 265 units at $131 each and has a tax rate of 30%. Assuming that a periodic inventory system is used, and operating expenses of $2600, what is the company’s after-tax income using LIFO?
a. $4012
b. $3982
c. $5689
d. $5732
Business
1 answer:
Vedmedyk [2.9K]3 years ago
5 0

Answer:

Company’s after-tax income using LIFO would be $3,982

Explanation:

Revenues: 265 * $131 = $34,715

To calculate the cost of the units sold using LIFO you have to use the cost of the last purchases.

For this case it would be:

114 units * $102 + 151 units * $ 98 = $26,426

Once we have the gross profit (deducting the cost from the net sales), we have to deduct the expenses to obtain the net profit before taxes.

$34,715 net sales

-

$26,426 LIFO cost of goods

-----------

$8,289 gross profit

-

$2,600 expenses

----------

$5,689 net profit before taxes

$1,707 (30% TAX)

----------

$3,982 net income

To have the total income we have to deduct the tax that is calculated mutiplying the net income before tax by the taxe rate.

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The logical sequence of the phases of a business cycle is: ____________
koban [17]

Answer:

phases in the sequence of Recession, trough, expansion and Peak

Explanation:

we know that 4 phases of a business cycle are

peak and  downturn (recession) and trough and upturn (expansion)

top of cycle is called peak

and boom is a very high peak

recession where conomic activity is falling from the peak

and when decline persist for more than 2 consecutive quarters that is recession

and The bottom of the recession is trough

so we know business cycle is a economic model  that describe fluctuation in economic activity

and that includes production of goods and service and business cycle go through its phases in the sequence of Recession, trough, expansion and Peak

7 0
3 years ago
Glaston Company manufactures a single product using a JIT inventory system. The production budget indicates that the number of u
dezoksy [38]

Answer:

$ 317,000

Explanation:

Octuber Production:  200,000    

Variable Overhead:      $      0.80 per unit    

Fixed Overhead:        $ 157,000    

     

<u>Factory Overhead Budget for Octobe</u>r:      

   

Octuber Production x Variable Overhead =    <em>200,000 x 0.80 =  160,000</em>      

           

Variable Overhead:  <em>$ 160,000</em>

+  

Fixed Overhead:     <em>  </em><em><u>   $ 157,000</u></em><em> </em>  

     

Total Overhead:<em> </em>      <em>   </em><em>$ 317,000</em><em>    ( $ 160,000 + $ 157,000 )  </em>

4 0
3 years ago
In the IS–LM model, a decrease in the interest rate would be the result of a(n): increase in government purchases. increase in t
Dmitry [639]

Answer:

Increase in money supply

Explanation:

Option - A: If there is a decrease in the interest rate, government purchases will decrease in the IS-LM model. Therefore, it is not the answer.

<em>Option - B:</em> As the interest rate decreases, people will borrow more money from the bank. The money will be flown quickly; therefore, the money supply will increase. So, it is the answer.

Option - C: There will be an increase in taxes. Therefore, it is not the answer.

Option - D: As there is an increase in the money supply, the opposite will happen with the money demand. Therefore, it cannot be the answer.

5 0
3 years ago
You will receive $4,000 at graduation 3 years from now. You plan on investing this money at 5 percent annual interest until you
attashe74 [19]

Answer:

It will take approximately 55 years

Explanation:

<em>The future value of a lump sum is the amount expected at a future date when a sum of money is invested today at a particular rate of interest for certain number of years</em>

FV = PV × (1+r)^(n)

FV= 50,000, PV = 4,000, n-?, r- 5%

50,000 = 4,000 × (1.05)^n

divide both sides by 4000

12.5 = 1.05^n

n= log 12.5/log 1.05

n = 51.8

The number of years = 51.8 + 3 years

                                  =54.767

Approximately 55 years

It will take 55 years

8 0
2 years ago
Briefly describe what is meant by the industrial market structure (IMS). Why is an understanding of the IMS so important for com
Nitella [24]

Answer is given below:

Explanation:

  • Industrial market structure is a systematic representation of different organization based on the level of competition for these products or services
  • the nature and nature of these products or services in the market.
  • Industry market is structured is important in a company's strategic management process for the following reasons
  1. Clearly assess business objectives
  2. Knowing how much competition there is in the market.
  3. Get details of your competitor's business development.
  4. Competing in the market
8 0
2 years ago
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