Answer:
Closing inventory is $294,932
Explanation:
The retail inventory method is used by retailers in estimating their closing inventory.
It identifies the relationship between cost and retail prices and thus associates cost to its net sales using the cost to retail ratio to work our its costs of sales which further guides in defining what his profit ought to be.
The cost to retail ratio is cost price divided by retail selling price
The cost of sales worked out is then deducted from Cost of Goods available for sales to determine the closing inventory/stock.
The schedule attached shows the relationship between cost and retail and how we arrived at a closing inventory of $294,932
Answer:
C. Money in the bank
Explanation:
A "liquid asset" is related to an <em>asset</em> that can be quickly turned into cash. Among the choices above, it is only<em> "money in the bank"</em> that is readily available in cash. Inventory, real estate and a piece of equipment may only be converted to cash<em> if they're sold to other people in exchange of cash.</em> Sometimes, it takes a long time to sell these items and with that being said, they're not readily available.
Answer:
The correct option is fundamental analysis
Explanation:
Industry analysis centers on the competitive nature of the market where a business operates,hence it is a just a component of what makes fundamental analysis.
Operational analysis can be likened to performance measurement where the performance of a business is measured viz-a-viz the expected performance with to aligning actual performance with plan
Fundamental analysis is the correct option as it encompasses determining the value of stock by conducting both internal and external analysis of a business concern.
Answer:
$62,267.91
Explanation:
first we must calculate the interest rate = 10% + 6% + (10% x 6%) = 16.6%
now we can use the present value formula:
present value = future value / (1 + rate)ⁿ
present values for:
- cash flow year 0 = $17,100
- cash flow year 3 = $46,500/1.166³ = $29,333.06
- cash flow year 4 = $12,300/1.166⁴ = $6,654.43
- cash flow year 7 = $26,900/1.166⁷ = $9,180.42
total present value = $62,267.91
