Answer:
The company should wait 2.72 days.
Explanation:
a) Data and Calculations:
Annual demand = 15,696 units
Unit price = $52
Ordering cost = $71
Inventory holding cost = 20% of $52 = $10.40 per unit
Determined order quantity = 46 units
Number of orders per year = 92 times
Total quantity that can be ordered = 4,232 (46 * 92)
This implies that there should be inventory of 11,464 at the beginning of the period (15,696 - 4,232)
The days to wait between orders = 2.72 days (250/92)
<u>Answer: </u>Option B
<u>Explanation:</u>
In this case Alber Miano had created replica of the invoices and has forged the contractor's signature. The hours of the trade contractors work was changed slightly. Due to the failure of the internal controls Miano was able to indulge in fraudulent activities in a bolder manner.
Through an internal audit Miano's activities were found out by the auditor and the vice president. Then Miano accepted that he was guilty and only showed less than half the amount spent on tangible assets from the accumulated fraudulent activities for four years.
Answer:
FIFO.
Explanation:
Note: This question is not complete. The complete question is therefore given before answering the question as follows:
The inventory method that will always produce the same amount for cost of goods sold in a periodic inventory system as in a perpetual inventory system would be:
FIFO.
LIFO.
Weighted average.
None of these answer choices is correct.
The explanation to the answer is now given as follows:
First-in, first-out (FIFO) is an inventory method under which the oldest inventory items are recorded in the account as being issued or sold first.
A periodic inventory system refers to an inventory valuation method under which there is an update to the inventory account at the end of an accounting period instead of after every sale and purchase of inventory items.
A perpetual inventory system to an inventory valuation method under which there is an update to the inventory account after every sale and purchase of inventory items. This is done by using computer softwares such as computerized point-of-sale systems and enterprise asset management software.
When FIFO inventory method is being used, both the periodic inventory system and perpetual inventory system will always produce the same amount for cost of goods sold.
Based this explanation, the correct option for this question is FIFO.
Answer:
In this scenario, Creswell Farms is in the idea generation stage of the new product development process.
Explanation:
Idea generation stage refers to the stage which involves the creation, development, and communication of the ideas. The process involves the construction of the idea and transforming the concepts into reality. The initiation of a project begins with the generation of the idea generation stage. In the above case, the suggestions are provided which would help the business of the product. Hence, this refers to the idea generation stage.
Answer:
1.- To estimate the variable and fixed cost elements of the annual cost operation using the high-low method.
2. To express the variable and fixed costs in the form.
3.- To find the total cost to be incurred if a trock were driven 80,000 km during the year.
Explanation:
1.- Computation of the variable and fixed cost elements of the annual cost of the trock operation using the high-low method: the average cost when the truck is driven for 105.000 km is 11.4 cents and it is $13.4 cents when 70,000 km are there. So, the fixed cost is $4,200.2 Cost formula for total cost using the high-low method: The variable and vixed cost in the form is 3: the total cost to be incurred if a truck were driven 80,000 km during the year: $10,120
