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Oduvanchick [21]
3 years ago
10

A car dealer acquires a used car for $12,000, with terms FOB shipping point. Compute total inventory costs assigned to the used

car if additional costs include $100 for transportation-in. $170 for shipping insurance. $800 for car import duties. $140 for advertising. $1,400 for sales staff salaries. $150 for trimming shrubs.
Business
1 answer:
bagirrra123 [75]3 years ago
8 0

Answer:  

<h2>$13,070 </h2>

Explanation:  

The Cost of inventory = all cost of purchase; including costs of conversion and transfer.

Calculation of Inventory Cost FOB ship.  

Cost of Purchase $12,000  

Transportation-in       $100

Shipping insurance    $170

Car import duties      $800

Total Cost              $13,070

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