The correct answer out of the choices is A I believe
Answer:
(1) $2,720
(2) $2,220
Explanation:
Given the following sequence:
300 units at $6, 400 units at $7 and 200 units at $8
(1) FIFO method
Ending inventory = 360 units
Cost of ending Inventory:
= 200 units at $8 + 160 units at $7
= 200 × $8 + 160 × $7
= 1,600 + 1,120
= $2,720
(2) LIFO method
Cost of ending Inventory:
= 300 units at $6 + 60 units at $7
= 300 × $6 + 60 × $7
= 1,800 + 420
= $2,220
The answer is most definitely google docs
Answer:
ROE : Net Income / Equity : $32 / $92 = 34,8%
Explanation:
To calculate the ROE its necessary to know the Equity of the company which is the difference between the Total Assets and the Total Debt.
Total Assets : $485
Total Debt : $393
Equity : $92
Net Income : $32
ROE : Net Income / Equity : $32 / $92 = 34,8%
The ROE it's a measure that let me know the financial performance of the company, its a good indicator of how efficiently the company it's handling the investor's money.
Answer: B. Sales returns and allowances
Explanation:
Accounts receivable is not closed out because people will still be owning at year end. Prepaid Insurance is an unrecognized payment for an expense in another period so it is not closed out either.
Land is a fixed asset so it is not closed and Accumulated depreciation will be left open to keep depreciating assets.
Only account that will be closed is the Sales returns and Allowances account as these are periodic entries and so should be closed out in the period.
