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
valkas [14]
3 years ago
6

In each dropdown that follows, select the correct sign [less than ( <), greater than (> ), or equal (=)] for each comparis

on, assuming periods of rising prices. 1. FIFO inventory LIFO inventory 2. FIFO cost of goods sold LIFO cost of goods sold 3. FIFO net income LIFO net income 4. FIFO income taxes LIFO income taxes b. Why would management prefer to use LIFO over FIFO in periods of rising prices? Income shown on the company’s tax return would be lower if LIFO rather than FIFO is used. Income shown on the company’s tax return would be higher if LIFO rather than FIFO is used. Cost of goods sold shown on the company’s income statement would be lower if LIFO rather than FIFO is used. Dividends shown on the company’s financial statements would be higher if LIFO rather than FIFO is used.
Business
1 answer:
earnstyle [38]3 years ago
5 0

Answer:

1. FIFO inventory is greater than (>) LIFO inventory.

2. FIFO cost of goods sold is less than (<) LIFO cost of goods sold.

3. FIFO net income is greater than (>) LIFO net income.

4. FIFO income taxes are greater than (>) LIFO income taxes.

b. Income shown on the company’s tax return would be lower if LIFO rather than FIFO is used.

Explanation:

FIFO and LIFO are accounting methods used in managing costs related to inventory, stock repurchases at different times and financial activities associated with monetary costs a company had tied up within inventory of feedstocks, raw materials, produced goods, and equipment parts.

Simply stated, FIFO and LIFO are accounting methods is used for the valuation of the cost of goods sold and ending inventory of a company.

FIFO is an acronym for "First In, First Out" and it assumes oldest unit of inventory is sold first, meaning goods that were first added to inventory are the first goods removed from inventory for sale and are recorded as sold first.

LIFO is an acronym for "Last In, First Out" and it assumes last unit to arrive in inventory is sold first, meaning goods that were last added to inventory are the first goods removed from inventory for sale and are recorded as sold first.

You might be interested in
Describe an example of a company that manufactures a product.
dexar [7]
General Motor Company(GMC) is a manufacturing company that manufactures automobiles in U.S.A.
3 0
3 years ago
Which of these cancellations of debt would be includable in income?
motikmotik

Answer:

Recourse debt.

Explanation:

Cancelled recourse debt are included as income and are taxable. Taxpayer get the benefit for using the money but does not have burden to repay the amount. These are mainly, prizes, awards on winning any contest etc. Debt which are forgiven or cancelled by lender are considered as Income and taxable. The law say that income from discharge of indebtness are included as income.

3 0
2 years ago
Michael receives a monthly salary of $2500 plus a commission of 2% of total orders written. If his orders for the month were $34
Bumek [7]

Answer:

$3,180

Explanation:

Monthly salary would be the base salary = $2500

Since he would earn 2% of all orders, calculate the dollar value of the commission when total orders amount to $34000;

Commission = 2% *34000 = $680

His total pay would be calculated by adding the base salary to the commission amount;

Total pay = base salary + commission

Total pay = $2500 + $680

Total pay = $3,180

7 0
3 years ago
Direct Labor Variances Advanced Micro Devices develops high-performing computing products. Assume one of its processors, Ryzen 7
Butoxors [25]

Answer and Explanation:

The computation is shown below:

a. The labor rate variance is

= (standard rate - actual rate) × actual labor hours

= ($20 - $19.50) × 64,000

= $32,000 favorable

b. The labor efficiency variance is

= (standard hours - actual hours) × standard rate

= (62,500 - 64,000) × $20

= -$30,000 unfavorable

c. the total flexible budget variance is

= standard cost - actual cost

= ($1,250,000 - $1,248,000)

= $2,000 favorable

7 0
3 years ago
Please be prepared to give your presentation on the monthly sales figures at our upcoming staff meeting. In addition to the accu
Papessa [141]

Answer:

The main focus of presentation will be Sales forecast and expected revenue.

Explanation:

In the presentation the main focus will be the sales forecast. The monthly budgeted sales will be presented to the team and target should be made realistic so that they are achievable. There can be fluctuations in the sales because of seasonal effect or due to some other reasons. The trend should be analyzed before determining the sales targets.

3 0
3 years ago
Other questions:
  • Why is it important to be present and active in your courses?
    10·2 answers
  • Luis has $170,000 in his retirement account at his present company. Because he is assuming a position with another company, Luis
    5·1 answer
  • A company's fixed operating costs are $370,000, its variable costs are $3.25 per unit, and the product's sales price is $5.65. W
    13·1 answer
  • As workers demand higher wages to produce automobiles, how will this influence the automobile market?
    10·1 answer
  • A promissory note:
    9·1 answer
  • The two factors that determine the costs of manufacturing inputs (materials, labor, and overhead) are price and quantity.
    13·1 answer
  • 9
    10·2 answers
  • To use an outline for writing a formal business document, what should you do after entering your bottom-line statement? O A. Mov
    8·2 answers
  • Which of the following is likely to happen if you climb the career ladder?
    6·2 answers
  • An investor is considering an investment that will pay $2,150 at the end of each year for the next 10 years. He expects to earn
    15·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!