1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Shtirlitz [24]
3 years ago
8

A company had the following purchases and sales during its first year of operations: Purchases Sales January: 23 units at $205 1

7 units February: 33 units at $210 17 units May: 28 units at $215 21 units September: 25 units at $220 20 units November: 23 units at $225 25 units On December 31, there were 32 units remaining in ending inventory. Using the Perpetual LIFO inventory valuation method, what is the cost of the ending inventory
Business
1 answer:
hodyreva [135]3 years ago
6 0

Answer:

$6,755

Explanation:

The computation of the cost of the ending inventory using the perpetual LIFO method is as follows:

For January:

Total value = Units remaining in inventory × cost per unit

= (23 - 17) × $205

= $1,230

For February:

Total value = Units remaining in inventory × cost per unit

= (33 - 17) × $210

= $3,360

For May:

Total value = Units remaining in inventory × cost per unit

= (28 - $21) × $215

= $1,505

For September:

Total value = Units remaining in inventory × cost per unit

= (25 - 20) × $220

= $1,100

For November:

Total value = Units remaining in inventory × cost per unit

= (25 - 23) × $220

= $660

Cost of the ending inventory:

= $1,230 + $3,360 + $1,505 + $660

= $6,755

You might be interested in
Superior Construction Co. was contracted to plaster all the buildings of a historical preservation project for $2,500,000 over t
Cerrena [4.2K]

Answer:

Gross Profit in Year 1 = $200000

so correct option is B. $200,000

Explanation:

given data

historical preservation project = $2,500,000

time = 2 year

estimated costs = $2,000,000

Actual costs Years 1 = $800,000

Actual costs Years 2 = $900,000

to find out

what amount of gross profit would Superior report in Year 1

solution

we find here first Percentage Completion that is express as

Percentage Completion = Cost to date ÷  Estimated Total Cost  .............1

put her value we get

Percentage Completion = \frac{800000}{2000000}

Percentage Completion  = 40%

and

Revenue Recognized will be here

Revenue Recognized = Percentage Completion  × Total estimated Revenue   ...............2

Revenue Recognized = 40 % × 25000000

Revenue Recognized = 1000,0000

so here Gross Profit in Year 1  will be  

Gross Profit in Year 1 = Revenue Recognized - Cost to date of year 1   ..............3

Gross Profit in Year 1 =   1000,0000 - v800000

Gross Profit in Year 1 = $200000

so correct option is B. $200,000

3 0
3 years ago
Hitzu Co. sold a copier costing $4,800 with a two-year parts warranty to a customer on August 16, 2018, for $6,000 cash. Hitzu u
fredd [130]

Answer:

1) $240 warranty expense

2) $240 warranty liaiblity

3) zero as decreases the warranty laibility

4) 240 beginning - 209 used = 31 ending

5)

cash    6,000 debit

 sales revenues 6,000 credit

--to record sale--

warranty expense 240 debit

  warranty liability          240 credit

--to record prevision for warranty expenses--

warranty liability     209 debit

     inventory                   209 credit

--to record use of the warranty from the customer--

Explanation:

1) sales x expected warranty = 6,000 x 0.04 = 240

2) it will be for the 240 as the accounting works with double-entry

6 0
3 years ago
A company had the following purchases and sales during its first year of operations: Purchases Sales January: 10 units at $120 6
Vesna [10]

Answer:

$3540.

Explanation:

FIFO means first in, first out. It means that it is the first purchased inventory that is the first to be sold

Ending inventory comprises of goods bought in May, September and November

cost of the ending inventory :

(4 x $130) + (12 x $135) + (10 x$140) = $3540

6 0
2 years ago
Suppose you are currently invested 100% in U.S. stocks and you CANNOT short: a.Find the portfolio that maximizes expected return
Volgvan

Answer:

Part a: The portfolio which maximizes the expected return is in the attached file.

Part b:The portfolio's expected rate of return is 11.20% and the weight is 100% for US only.

Explanation:

As the question is incomplete and the data is not available, thus the complete question is found as attached with the solution.

The Sharpe rate is given as

S_a=\frac{E_a-E_r}{\sigma}

Where

  1. E_a is the estimated rate of return for a value
  2. E_r is the risk free rate of return
  3. σ is the standard deviation of the investment.

The portfolio variance is given as

\sigma^2_{portfolio}=\sum_{i}^{n}{\sigma_i^2w_i^2}+\sum_{i}^{n(n-1)/2}{cv_i}

Where

  1. σ is the standard deviation of the investment.
  2. w is the weighted value of the investment
  3. cv is the covariance term

Portfolio standard deviation is given as

\sigma_{portfolio}=\sqrt{\sigma^2_{portfolio}}

Expected rate is given as

E_{rate of return}=\sum_{i=1}^{n}{E_a_i\times w_i}

Now the Sharp value is calculated as above.

Now the values as given in the excel sheet are added in the attached excel sheet,  following formulas are used to calculate various values

Sharpe ratio is calculated using =(B6-J3)/C6

Portfolio variance is calculated using (=B13^2*C6^2+B14^2*C7^2+B15^2*C8^2+B16^2*C9^2+2*B13*B14*C6*C7*D7+2*B13*B15*C6*C8*D8+2*B13*B16*C6*C9*D9+2*B14*B15*C7*C8*E8+2*B14*B16*C7*C9*E9+2*B15*B16*C8*C9*F9)

Portfolio standard deviation is SQRT(Variance)

Expected return is calculated using =B13*B6+B14*B7+B15*B8+B16*B9

Sharpe is calculated using =(B23-$J$3)/B22

Part a:

The portfolio which maximizes the expected return is in the attached file.

Part b:

The portfolio's expected rate of return is 11.20% and the weight is 100% for US only.

4 0
3 years ago
I need money :/ how do you make an online business
svp [43]
You could sell things on Etsy
4 0
2 years ago
Read 2 more answers
Other questions:
  • Suppose the demand function​ (D) for golf clubs​ is: Qequals150minus1.00​P, where P is the price paid by consumers in dollars pe
    15·1 answer
  • Which one of these statements is correct?
    11·1 answer
  • The best way to overcome a sincere need objection by a business prospect is to:
    7·1 answer
  • The asset's book value is $70,000 on July 1, Year 3. On that date, management determines that the asset's salvage value should b
    12·1 answer
  • Susan Sheppard, Creative Design Manager at Word-of-Mouth Marketing Group, is consistently bullied by her colleague, Alexandra Wo
    6·1 answer
  • Elaine is very good at what she does, but she is constantly stressed by internal deadlines assigned to co-workers, obligatory me
    8·1 answer
  • The financial records of Sunland Inc. were destroyed by fire at the end of 2020. Fortunately, the controller had kept certain st
    5·1 answer
  • Use the information presented in Southwestern Mutual Bank's balance sheet to answer the following questions. Bank's Balance Shee
    10·1 answer
  • two special courses suggested for the career and has offered reasons for their placement Agriculture, Food & Natural Resourc
    6·1 answer
  • Extrinsic rewards: a. are under the control of the individual performing the action. b. are internal in nature. c. include promo
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!