Answer:
Demand in developing countries is lower and so the price is set lower to match the capacity to pay (such as pharmaceuticals). Locally produced goods, especially the outputs of primary production are generally inexpensive and often will be cheaper in developing countries e.g. bananas.
Answer: No, because of the integration clause
Explanation:
Based on the information given, the buyer isn't correct as a result of the integration clause.
The integration clause, is a clause in a written contract that stipulates that a particular contract is complete and that the parties involved agreed to the contract and it's final.
This contract supersedes every other informal understandings and all other oral agreements relating as well. Therefore, the buyer is liable for the cost of the boat.
Answer:
C) $1,500.
Explanation:
The computation of the insurance expense is shown below:
The insurance expense would be equal to the expired amount of the prepaid insurance i.e $1,500
The adjusting entry is as follows
Insurance expense A/c Dr $1,500
To Prepaid Insurance $1,500
(Being insurance expense is recorded)
Therefore, the balance of the prepaid insurance is ignored.
Answer:
<u>Weighted average</u>
COGS: 7176.18
Enbding Invnetory: 4192.82
<u>LIFO</u>
cogs 7,491
ending inventory 3878
<u>FIFO</u>
COGS: 6875
Ending Inventory: 4494
Explanation:
event units price subtotal
Beginning 21 71 1491
Purchase 31 77 2387
Purchase 42 81 3402
Purchase 47 87 4089
available 141 11369
Average price: 11,369 / 141 = 80.6312
COGS: (47 + 42) x 80.6312 = 7176.1773
Enbding Invnetory:
(141 - 47 - 42) x 80.6312 =4192.822695
LIFO
we sale the latest units thus, we compute for sold October 14 and August 22
42 x 81 + 47 x 87 = 7,491
Then, Ending Inventory:
good available - COGS = ending inventory
11,369 - 7,491 = 3878
FIFO we sale the first units so we take from the beginning unti l achieve the 89 units sold (42 + 47)
21 from beginning at 71
31 from March at 77
37 from August at 81
Total COGS: 6875
Ending Inventory
good available - COGS = ending inventory
11,369 - 6875= 4494
