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
grigory [225]
2 years ago
7

Calculating Lower-of-Cost-or-Net Realizable Value

Business
1 answer:
Tju [1.3M]2 years ago
7 0

Answer:

Anne Traylor Inc.

Calculating Lower-of-Cost-or-Net Realizable Value

The inventory cost to report on the balance sheet on June 30, 2020, assuming that the company applies the lower-of-cost-or-net realizable value rule to each individual inventory item is:

= $8,990.

Explanation:

a) Data and Calculations:

Inventory  Quantity   Selling  Cost     NRV    Inventory   Lower-of-Cost-or-

Item                            Price    to Sell                  Cost     Net Realizable Value

#100              70          $24      $5       $19         $16         $1,120 ($16 * 70)

#101             100            22         4         18            17           1,700 ($17 * 100)

#115              50            35         6        29            31          1,450 ($29 * 50)

#118             120            40         6        35           29         3,480 ($29 * 120)

#120             25             18         4         14            10            250 ($10 * 25)

#128             45            30         8        22           26            990 ($22 * 45)

Total                                                                                $8,990

You might be interested in
You need a 30-year, fixed-rate mortgage to buy a new home for $210,000. Your mortgage bank will lend you the money at a 7.1 perc
miskamm [114]

Answer:

$573,963

Explanation:

First, calculate the present value of the loan payments using the following formula

PVA = PMT x [ ( 1 + r )^n - 1 ] / [ r ( 1 + r )^n)

PVA = $950 x [ ( 1 + 7.1%/12 )^360 - 1] / [ 7.1%/12 ( 1 + 7.1%/12 )^360)

PVA =  $141,362.32  

Now calculate the difference of Value of loan and the present value of loan payment

Difference = Loan value - PV of loan payment = $210,000 - $141,362.32 = $68,637.68

This te Ballon payment in present value term, We need to determine the value at the end of the loan term.

Hence we need to calculate the future value of this payment as follow

Future value = Present vale x ( 1 + Monthly Interest rate )^numbers of months

Future value = $68,637.68 x ( 1 + 7.1%/12 )^360

Future value = $573,963.09

Future value = $573,963

Hence the ballon Payment will be $573,963

7 0
2 years ago
What is the return on common stockholdersâ equity based on the following: Beginning Common Stockholdersâ Equity: $10,317,000 End
Slav-nsk [51]

Answer:

13.28%

Explanation:

return on stockholders' equity = net income after taxes and preferred stock dividends / average stockholders' equity

  • net income = $1,429,000
  • preferred stocks dividends = 8,000 stocks x $75 x 6% = $36,000
  • average stockholders' equity = ($10,317,000 + $10,662,000) / 2 = $10,489,500

return on stockholders' equity = ($1,429,000 - $36,000) / $10,489,500 = 13.28%

5 0
3 years ago
What vehicle looks the same coming or going
masya89 [10]
1958 Zundapp Janus 250
7 0
3 years ago
HEH, Inc. owns a large parcel of land which will be used for commercial development. Upon the sale of the property to HEH, Inc.,
Naily [24]

Answer:

covenant.

Explanation:

Based on the information provided within the question it can be said that the type of deed that is in place is called a covenant. This term refers to any agreement that has been made in a written form such as a lease, deed, or other legal contract. Which is what HEH, Inc. has made with the written agreement stating that the lake cannot be touched.

6 0
3 years ago
A company has a $4,000, 270-day, 6%, note payable recorded on its books which was dated July 2, 2013. The interest expense is pa
tensa zangetsu [6.8K]

Answer:

Interest expense accured = $121.33 (

Explanation:

The exact number of days from July 2 through December 31, 2013 is 182 days.

The accrued interest  (182/360) x $4,000 x 6% = $121.33

5 0
2 years ago
Other questions:
  • Look carefully at the following list. a. The coins in your pocket. b. The funds in your checking account. c. The funds in your s
    12·1 answer
  • Acquiring funds through borrowing represents:
    6·2 answers
  • The cost of an asset is $ 1,020,000​, and its residual value is $ 100,000. The estimated useful life of the asset is ten years.
    7·1 answer
  • Dr. Jones is interested in expanding his practice by adding a piece of radiology equipment. The basic
    12·1 answer
  • Stephanie Johns is a member in a store that is a nonprofit organization that buys grocery items in bulk. The savings on these bu
    9·1 answer
  • Being overwieght increases health problems and the cost of health care, and health insurance pays for health care costs for peop
    12·1 answer
  • Ray Bond sells handcrafted yard decorations at county fairs. The variable cost to make these is $20 each, and he sells them for
    5·1 answer
  • You are going to form a portfolio with stocks A & B with the following information: Stock Expected Return Standard Deviation
    5·1 answer
  • Item8 4 points Time Remaining 44 minutes 36 seconds00:44:36 Item 8 Time Remaining 44 minutes 36 seconds00:44:36 Information for
    14·1 answer
  • Question 7 Suppose that Jaxon Corporation has three products: Red, Black, and White. Red has the highest contribution margin per
    9·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!