Answer: $12
Explanation:
The reasonable production cost for a backpack in this segment will be calculated as 50% multiplied by the average retail price which will be:
= 50% × $24
= 50/100 × $24
= 0.5 × $24
= $12
Answer:
B) credit to Accounts Receivable for $1500.
Explanation:
The journal entry to record the given transaction is as follows
Cash $1,470
Sales discounts $30 ($1,500 × 2%)
To Account receivable $1,500
(Being the receipts of payment is recorded)
While recording this transaction we debited the cash as it increased the assets plus the sales discount is also debited and at the same time we credited the account receivable as it decreased the asset
The unit selling price of the selling price is equal to the sum of the original price and the amount that should be added for the marking-up, which is equal to 30% of the original per unit cost. This can be calculated through the equation below.
per unit selling price = ($18)(1.30) = $23.4
ANSWER: $23.4
Alternative term for core competencies.
Answer:
Cold Chiller Corporation (CCC)
Investment in cash conversion cycle:
= $10 million x 60% = $6million
which is invested for 145 (80 + 35 + 30) days before being realized as cash.
Explanation:
The cash conversion cycle (CCC) is a metric that expresses the time (measured in days) it takes for a company to convert its investments in inventory and other resources into cash flows from sales. It gives us an indication as to how long it takes a company to collect cash from sales of inventory. Often a company will finance its inventory instead of paying for it with cash up front.
The formula for the Cash Conversion Cycle is:
CCC = Days of Sales Outstanding PLUS Days of Inventory Outstanding MINUS Days of Payables Outstanding.
CCC = DSO + DIO – DPO.
Days of Sales outstanding:
DSO = [(Beginning Accounts Receivable + Ending Account Receivable) / 2] / (Revenue / 365)
Days of Inventory Outstanding:
DIO = [(Beginning Inventory + Ending Inventory / 2)] / (COGS / 365)
Operating Cycle = DSO + DIO.
Days of Payables Outstanding:
DPO = [(Beginning Accounts Payable +Ending Accounts Payable) / 2] / (COGS / 365)