I think the primary solution is to reduce prices in stores that consumers will buy more.
Answer:
D) $165,000
Explanation:
Partner Capital Balance Income Share
Nunes $250,000 20%
Orta $180,000 30%
Paulo $150,000 50%
Totals $580,000 100%
Orta's balance - capital balance = $180,000 - $159,000 = $21,000 which will increase the partnership's total capital balance
partnership's capital balance = $421,000
the extra $21,000 will be divided according to each remaining partner's income distribution:
- Paulo = (50%/70%) x $21,000 = $15,000
- Nunes = (20%/70%) x $21,000 = $6,000
Paulo's capital balance = $150,000 + $15,000 = $165,000
Answer:
O Lower under average cost than LIFO.
Explanation:
Whenever the costs are rising and inventory quantities are stable it means that the later that the inventory is bought the more expensive it is because costs are rising and increase with time. So the cost of goods sold will always be the highest under LIFO when costs are rising because, the goods being bought last are the most expensive will be expensed first under LIFO. The costs of good sold will be lowest under FIFO when costs are rising because the cheapest goods will be expensed fist. So in this case the only option that makes sense is that the cost of goods sold will be lower under average cost than LIFO.
