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
levacccp [35]
3 years ago
12

A company normally sells its product for $20 per unit. However, the selling price has fallen to $15 per unit. This company's cur

rent FIFO inventory consists of 200 units purchased at $16 per unit. Net realizable value has now fallen to $13 per unit. What is the amount of the lower cost of market adjustment the company must make as a result of this decline in value?
a. $1000

b. $1400

c. $400

d. $600

e. $800
Business
1 answer:
musickatia [10]3 years ago
8 0

Answer:

correct option is d. $600

Explanation:

given data

sells product = $20 per unit

selling price fallen = $15 per unit

FIFO inventory = 200 units

purchased = $16 per units

Net realizable value fallen = $13 per unit

to find out

amount of the lower cost of market

solution

we know that here Company record inventory at lower

so market value or cost of the inventory at  declined time

and here Market Adjustment is the Difference of the cost and the Market Value

so cost will be here

Cost =  200 × $16

cost = $3200

and

Net realizable value will be

Net realizable value =  200 × $13

Net realizable value = $2600

so that Market adjustment is the difference of

Market adjustment  difference = $3200 - $2600

Market adjustment  difference = $600

so correct option is d. $600

You might be interested in
If a new home can be constructed for $150,000, what is the opportunity cost of federal defense spending, measured in terms of pr
FrozenT [24]

Answer:

4 million  houses

Explanation:

Opportunity cost is the forfeited benefit as a result of choosing one option over others.  Its value equals the cost of the next best alternative.

The cost of constructing a new home is $150,000.  If the Federal Defence has a budget of $600 billion, the opportunity cost of spending that amount will be the equivalent number of units that can be built by the amount.

To calculate the number of units= $600 billion divided by $150,000

= $600,000,000,000/ $150,000

=4,000,000

=4 million units

6 0
3 years ago
Which of these statements is correct with regard to the implementation of marketing objectives?
xz_007 [3.2K]

Answer:

B). A lot of ongoing communication is involved when executing a plan.

Explanation:

The second statement regarding 'a lot of ongoing communication is involved when executing a plan' is the most correct regarding the implementation of marketing objectives. <u>Effective communication is the most significant key to ensure that the plans are timely and efficiently executed, the tasks are divided and coordinated significantly, and the desired goals and objectives are achieved successfully</u>. Thus, <u>option B</u> is the correct answer.

3 0
2 years ago
A group of brands that results from an information search that a buyer can choose among is referred to as the buyer’s __________
Gennadij [26K]

Answer:

The correct answer is "evoked set"

Explanation:

An evoked set is a term that refers to the capacity of a customer to choose a specific brand because the customer reminds a product of a previous marketing campaign that takes effect on him.  

The essence of marketing campaigns is to establish their business brand firmly on the market.  

Example: When a person purchases a specif brand because it appeared on the tv, radio, newspaper... Sometimes the customer doesn't know why he chose this brand, just know that he likes it.  (Probably for a marketing campaign)

3 0
3 years ago
In the United States, all financial institutions are required to conduct business at a physical location only.
worty [1.4K]

Answer:

B-False

Explanation:

Because some companies do business online.

4 0
3 years ago
Jerry, a partner with 30% capital and profit interest, received his Schedule K-1 from Plush Pillows, LP. At the beginning of the
Kisachek [45]

Answer:

The Jerry's adjusted basis in his partnership interest at the end of the year is $45,500

Explanation:

The adjusted basis of Jerry in his partnership is shown below:

= Partnership interest - Ordinary loss + long term capital gain + dividend - non deductible expense + cash contribution - share reduction

= $50,000 -$15,000 + $3,000 + $2,000 - $500 + $10,000 -$4,000

= $45,500

The ordinary loss, share reduction, and non deductible expense would decrease the Jerry interest in partnership firm while all other cost would increase his interest. That's why the amount is added and subtracted.

Hence, the Jerry's adjusted basis in his partnership interest at the end of the year is $45,500

5 0
3 years ago
Other questions:
  • Less certain a cash flow, the ________ the risk, and ________ the present value of the cash flow. higher; lower lower; lower hig
    5·2 answers
  • If i'm a freshman in 2017 when will i graduate
    15·1 answer
  • Phones R Us, a global phone company, frequently needs to respond quickly to fast-changing consumer tastes with its smartphones.
    15·1 answer
  • Locating dependable suppliers is part of the ————process?
    11·1 answer
  • On November 1, 2018, Taylor signed a one-year contract to provide handyman services on an as-needed basis to King Associates, wi
    12·1 answer
  • Suppose individuals wish to obtain the most accurate comparison of living standards between the US and Saudi Arabia. To do so, o
    11·1 answer
  • Mr. Green enters into a contract with Mr. Blue who is a crab fisherman. Mr. Green and Mr. Blue know that Mr. Blue has already ca
    13·1 answer
  • Addison company will issue a zero-coupon bond this coming month. The projected yield for the bond is 7%. If the par value of the
    6·1 answer
  • Why are companies required to perform payroll withholding?
    5·2 answers
  • It is important to organize your time when taking a college course, True False​
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!