Answer and Explanation:
As per the data given in the question,
a)
1. FIFO inventory > LIFO inventory
(Because in case of LIFO recent purchases are considered in production first or sold first so the remaining inventory are old inventory which is less costlier.)
2. FIFO cost of goods sold < LIFO cost of goods sold
(Because in case of LIFO recent purchases are considered in production first which are expensive so the cost of production is greater than FIFO.)
3. FIFO net income > LIFO net income
(Because cost of production is less under FIFO and the value of closing inventory is high, therefore the net income is also high.)
4. FIFO income taxes > LIFO income taxes
(Since, income is high in FIFO, therefore the tax under FIFO will be higher.)
b)
Management would like prefer to use LIFO over FIFO in periods of rising prices because Income shown in the company's Tax return will be higher if we use FIFO rather than using LIFO.
Answer:
$462
Explanation:
The computation of the net present value is shown below:
= Present value of all year cash inflows by considering the salvage value - initial investment
where,
Present value of all year cash inflows by considering the salvage value is
= Annual cash flows × PVIFA factor for 4 years at 15% + Salvage value × discount rate at 4 year on 15%
= $54,000 × 2.855 + $11,000 × 0.572
= $154,170 + $6,292
= $160,462
And, the initial investment is $160,000
So, the net present value is
= $160,462 - $160,000
= $462
We simply applied the above formula to determine the net present value
Refer to the PVIFA table and discount factor table
This is the answer but the same is provided in the given option
The purchasing function helps to gain competitive advantages by reducing costs associated with the value chain, increasing efficiency and total quality.
<h3 /><h3>What is a Strategic Sourcing Plan?</h3>
It corresponds to an approach of aligning the organizational purchasing strategy to the objectives stipulated by the planning, helping in the management of the supply chain for greater effectiveness in the use of information associated with purchases.
Therefore, a sourcing plan will help to reduce purchasing costs, speed up deliveries and choose the ideal suppliers for the business.
Find out more about supply chain here:
brainly.com/question/25160870
#SPJ1
Answer:
Convenience Sampling
Explanation:
Since in the given case items are not selected randomly for sampling, neither any groups or clusters are created, this form of sampling is not random sampling or clustered sampling.
Sampling refers to the technique of arriving at a conclusion by selecting n number of items and the results obtained from observation of those selected n number of items shall be representative of the entire population.
There are two forms of sampling namely probability and non probability forms of sampling.
The quality control officer in this case applied convenience sampling wherein observations are chosen as per the availability and convenience. Likewise in the present case, first 100 mattresses which were manufactured were taken up for sampling.
This is a non probability form of sampling.
