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3 years ago

Allocating product cost between cost of goods sold and ending inventory

Business

1 answer:

Oksana_A [137]3 years ago

7 0

Explanation:

The computation of the product cost under each inventory method is shown below:

A. FIFO

Cost of goods sold = $1,060

Ending inventory = $1,380

B. LIFO

Cost of goods sold = $1,380

Ending inventory = $1,060

C. Weighted average

Weighted average cost per unit = ($1,060 + $1,380) ÷ 2 = $1,220

Cost of goods sold = ($1,060 + $1,380) ÷ 2 = $1,220

Ending inventory = ($1,060 + $1,380) ÷ 2 = $1,220

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Design Math Quiz

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Answer:

b) 4,000 + 5 x 1,000

Explanation:

The cost of 1000 items will be the total of

1). the set up cost

2). The per item cost multiplied by 1000 units

Therefore, the cost function will

=set up cost($4000 ) + cost of 1000 items( $5 x 1000)

=$4000 + $5 x 1000

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3 years ago

On January 1, 2014, the merchandise inventory of Glaus, Inc. was $1,200,000. During 2014 Glaus purchased $2,400,000 of merchandi

Xelga [282]

Answer: Option (C) is correct.

Explanation:

Given that,

Merchandise inventory(beginning inventory) = $1,200,000

Merchandise purchased = $2,400,000

Sales = $3,000,000

Gross profit rate on sales = 25%

Ending inventory of Glaus:

= Beginning inventory + Purchases - cost of goods sold

= $1,200,000 + $2,400,000 - [sales × (100-25)%]

= $1,200,000 + $2,400,000 - $3,000,000 × 0.75

= $1,200,000 + $2,400,000 - $2,250,000

= $1,350,000

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3 years ago

Lifeworks is a nongovernment not-for-profit organization that recently received a large gift from a donor in the amount of $3,00

blagie [28]

Answer:

Explanation:

The net assets would increase. This is because the $100,000 earnings from investments are additional cash inflows hence an increase in current assets. For the $3,000,000 if invested, it will be considered an asset. It is a cash donation invested to generate earnings for the non-profit organization. Thus, these two instances add onto the net asset value of Lifeworks.

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3 years ago

Costs that vary in total in direct proportion to changes in an activity level are called: Group of answer choices fixed costs su

mina [271]

Answer:

variable costs

Explanation:

Fixed costs are costs that do not vary with output. e,g, rent, mortgage payments

If production is zero or if production is a million, Mortgage payments do not change - it remains the same no matter the level of output.

Hourly wage costs and payments for production inputs are variable costs

Variable costs are costs that vary with production

If a producer decides not to produce any output, there would be no need to hire labour and thus no need to pay hourly wages.

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3 years ago

Which of the following personal property items has the HIGHEST specific limitation on coverage?

Charra [1.4K]

The personal property items that have the HIGHEST specific limitation on coverage are jewelry, watches, and precious stones or metals because they are saved in a location, especially in banks

<h3 /><h3>The properties having HIGHEST specific limitation on coverage.</h3>

A limit is the highest amount your insurer will pay for a claim that your insurance policy covers.

Some of these specific limits apply to a building or personal property at a single location.

From the listed option, the personal property items that have the HIGHEST specific limitation on coverage are jewelry, watches, and precious stones or metals because they are saved in a location, especially in banks

Learn more on specific limitations on coverage here: brainly.com/question/27015627

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2 years ago