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
muminat
3 years ago
9

Tune Store reports inventory using the lower of cost and net realizable value (NRV). Information related to its year-end invento

ry appears below. Inventory Quantity Unit Cost Unit NRV Model A 100 $ 100 $ 120 Model B 50 50 40 Model C 20 200 210 The year-end adjustment to mark inventory down to net realizable value will involve a debit to _____.
Business
1 answer:
Genrish500 [490]3 years ago
5 0

Answer:

inventory impairment/cost of good sold (p/l)   $500

Explanation:

IAS 2 requires that inventory be initially recognized at cost including cost of purchase and other necessary cost incurred in getting the inventory to the location where it becomes available for sale.

Subsequently, the item of inventory is carried at the lower of cost or net realizable value (NRV).

              Quantity    Unit Cost     Unit NRV      Lower of cost/NRV  Amount

Model A    100               $100              $ 120       $100                       $10,000

Model B      50                $50               $ 40        $40                         $2,000

Model C      20                $200             $210        $200                      $4,000

Adjustment required = 50 ($50 - $40)

=$500

This posted as

Debit inventory impairment/cost of good sold (p/l)   $500

Credit Inventory account                                              $500

You might be interested in
Customer: An entity that describes a customer. An instance occurs for unique customers only using name, date of birth, and login
Tasya [4]

Answer:

1. The relationship between customer and Online - One to one

2. The relationship between customer and Satisfaction - One to many

3. The relationship between online and visits - Many to many

4. The relationship between Visits and satisfaction - Prototype

Explanation:

The relation ship with customer is often one to one. The customers are required to fill the satisfaction surveys which enable the business to understand their value in the eyes of its customers and try to improve their level of service to their customers. The customer satisfaction is important for any business as the satisfied customer may bring more customers.

5 0
2 years ago
Residents of the town of Smithfield like to consume hams, but each ham requires 10 people to produce it and takes a month. If th
Hunter-Best [27]

Answer:

10 hams

Explanation:

It is given that 10 people can produce 1 ham in a month. It is assumed that whatever is produced is consumed. So, 100 people will produce 10 hams that is 100 ÷ 10 = 10 in a month. So, 100 people can consume 10 hams, that are produced in a month.

So, residents can consume maximum 10 hams (same amount as produced) in a month.

4 0
3 years ago
On November 6, 20X7, Zucor Corp. purchased merchandise from an unaffiliated foreign company for 50,000 units of the foreign comp
fgiga [73]

Answer

The answer and procedures of the exercise are attached in the following archives.

Explanation  

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.  

8 0
2 years ago
A restaurant bill is made up of the following: $12.50 for starters, $28.55 for main courses, and $8.95 for deserts, plus a 15% s
Alina [70]

Answer:

The bill is $57.5

Explanation:

The computation of bill is shown below:

= Price for starters + price for main course + price for deserts + service charge tax

= $12.50 + $28.55 + $8.95 + $7.5

= $57.50

The service charge would be calculated by considering all food costing.

In mathematically

= Service tax rate × ( Price for starters + price for main course + price for deserts)

= 15% × ($12.50 + $28.55 + $8.95)

= 15% × $50

=$7.5

Hence, the bill is $57.5

7 0
2 years ago
If a country had a CPI of 91.0 last year and a CPI of 90.0 this year, then
Sergio039 [100]

Answer 1: The Correct answer is C) the average prices of goods and services decreased between last year and this year.

CPI stands for consumer Price Index. Also known as the 'basket' the index is developed by national governments to monitor the prices of basic goods and services used by the population.

This has to include basic items that the majority of population uses every day e.g. milk, chicken, electricity etc.

In this case, the CPI had decreased from 91.0 to 90.0 which means the prices fell.

Answer 2: The correct answer is A) 3.6%

The formula to calculate unemployment rate is:

No. of unemployed ÷ No. of Working People x 100

In this case, it was 9 million divided by 250 million x 100

3.6% unemployment rate is actually very less for an economy and is an indicator that the economy is doing well and creating enough jobs for most people. A high unemployment rate signals a worsening economy.

6 0
3 years ago
Other questions:
  • Sweet, Inc. issued a $140,000, 4-year, 12% note at face value to Flint Hills Bank on January 1, 2017, and received $140,000 cash
    5·1 answer
  • Expansionary policies are intended to _____ economic growth, and contractionary policies are intended to _____ economic growth.
    15·2 answers
  • Hickory point amusement park sells admission tickets for $50 per person for one visit. variable costs are $15 per visitor and fi
    9·1 answer
  • On average, someone with a Bachelor's degree is estimated to earn ____ times more than someone with a high school diploma.
    9·2 answers
  • A commercial bank will loan you $7,500 for two years to buy a car. The loan must be repaid in 24 equal monthly payments. The ann
    8·1 answer
  • Exercise 4-2A Allocating costs between divisions Beasley Services Company (BSC) has 50 employees, 28 of whom are assigned to Div
    14·1 answer
  • On its advertisement, a company claims that it has funds in its possession that are, in fact, not available for the payment of l
    7·1 answer
  • Time management is primarily act of using time
    10·2 answers
  • Dual Advertising/Co-branding partnership what is it?
    11·1 answer
  • Vanguard is evaluating new potential investments to add to their international investment fund. Their current fund composition b
    13·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!