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3 years ago

The units of an item available for sale during the year were as follows:

Business

1 answer:

ioda3 years ago

4 0

Answer:

FIFO LIFO Weighted Average

Inventory cost = $167,700 $145,600 $157,800

Explanation:

a) Data and Calculations:

Jan. 1 Inventory 1,000 units at $120 $120,000 $120,000

Feb. 17 Purchases 1,375 units at $128 176,000 296,000

July 21 Purchases 1,500 units at $136 204,000 500,000

Nov. 23 Purchases 1,125 units at $140 157,500 657,500

Dec. 31 Total units 5,000 $657,500

Dec. 31 Inventory 1,200

Dec. 31 Units sold 3,800

Inventory cost by:

FIFO ( first-in, first-out method)

July 21 Purchases 75 units at $136 $10,200

Nov. 23 Purchases 1,125 units at $140 157,500

Dec. 31 Inventory 1,200 $167,700

LIFO (last-in, first-out method)

Jan. 1 Inventory 1,000 units at $120 $120,000

Feb. 17 Purchases 200 units at $128 25,600

Dec. 31 Inventory 1,200 $145,600

Weighted-Average Cost Method

Total cost of goods available/Total units available for sale

= $657,500/5,000

= $131.50 per unit

Inventory cost = $157,800 ($131.50 * 1,200)

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For each of the situations listed, identify the primary standard from the IMA Statement of Ethical Professional Practice that i

DaniilM [7]

Answer:

1. To reduce the company's tax bill, Jack uses total cost to value inventory instead of using product cost as required by law.

Competence: accounting records must follows applicable laws, regulations and standards, you must IRA and GAAP rules when preparing financial statements and tax reports.

2. Since Emilie works in the accounting department, she is aware that profits are going to fall short of analysts' projections. She tells her aunt to sell stock in the company before the earnings release date.

Confidentiality: accounting records must b confidential unless you are authorized to disclose them, and you are not authorized to disclose the information to your aunt.

3. Veronica pays a Mexican official a bribe of $50,000 to allow the company to locate a factory in that jurisdiction so that the company can take advantage of the cheaper labor costs. Without the bribe, the factory cannot be located in that location.

Integrity: you must abstain from performing illegal activities, and bribery is illegal.

4. There is a failure in the company's backup system after a system crash. Month-end reports will be delayed. Kayla, the manager of the division experiencing the system failure, does not report this upcoming delay to anyone since she does not want to be the bearer of bad news.

Credibility: you must report all relevant and important information regardless of whether that information will make you bad or not.

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4 years ago

What is the weighted average cost of capital after taxes for Moss Diet Centers if the target weights are 25% equity and 75% debt

sammy [17]

Answer:

WACC is 12.8%

Explanation:

<em>The weighted average cost of capital (WAAC) is the average cost of all the various sources of long-term finance used by a business weighted according to the proportion which each source of finance bears to the the entire pool of fund. </em>

To calculate the weighted average cost of capital, follow the steps below:

Step 1: Calculate cost of individual source of finance(this is already given)

Cost of Equity= 15%

After-tax cost of debt = (1- T) × before-tax cost of debt =12%

Step 2 : calculate the proportion or weight of the individual source of finance . (This already given)

Equity = 25%

Debt= 75%

Step 3; Work out weighted average cost of capital (WACC)

WACC = ( 15%× 25%) + ( 12%× 75%)

= 12.75%

WACC is 12.8%

4 0

3 years ago

Whether a tax is levied on sellers or buyers, buyers and sellers usually share the burden of taxes.

son4ous [18]

The answer is true because both have to pay taxes.

8 0

3 years ago

Which two actions should you take during an informational interview?

Eddi Din [679]

Answer:

speak with confidence
encourage the interviewer to do most of the talking- after all he is the interviewer, you don't want to dominate the interview.

Hope this helps! ;D

4 0

4 years ago

Read 2 more answers

Julius builds dining chairs that he sells for $200 a chair. His fixed costs are $1,000 (for workshop equipment). Each chair cost

icang [17]

Answer:

7 chairs

Explanation:

The computation of the no of chairs that produced each day is shown below:

We know that

The optimum production is Marginal revenue = Marginal Cost

the Marginal cost is increasing with output and Marginal revenue remains constant at $200

So,

Quantity MC

1 50

2 75

3 100

4 125

5 150

6 175

7 200

Therefore Julius produce 7 chairs

8 0

3 years ago