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2 years ago

When using the specific identification inventory method, cost of goods sold equals the ______.

1 answer:

4 0

With the specific identification inventory method, the Cost of Goods Sold equals the exact costs of the items sold.

The specific identification inventory method tracks each sold item to record its cost. The Cost of Goods Sold includes only the actual cost of the items sold and not an average or assumed cost.

The specific identification inventory method is not like the:

FIFO (First-in, First-out) method that assumes that items sold are from the first inventories in the store
LIFO (Last-in, First-out) method that assumes that items sold are from the last inventories in the store
Weighted-average method that takes the average cost for all the items in store to determine the cost of goods sold.

Thus, the specific identification method ensures that the Cost of Goods Sold equals the actual cost of the goods.

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You are purchasing an equipment for $ 200,000 for your new store. Assume the store has no other expenses or revenues other than

djverab [1.8K]

Answer:

Negative cash balance of $210,000.

Explanation:

Given that,

cost of equipment = $200,000

Inventory purchased = $12,500

Cash balance = $2,000

Accounts payable = $4,500

Net cash flow at time zero:

= (cost of equipment) + (Increase in working capital)

= ($200,000) + (Inventory purchased + cash balance - Accounts payable)

= ($200,000) + ($12,500 + $2,000 - $4,500)

= ($200,000) + ($10,000)

= ($210,000)

Note: Negative values are in the parenthesis.

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2 years ago

Suggest the appropriate functional forms for the relationships between the following variables, and explain your reasoning, keep

Evgesh-ka [11]

Answer:

B is you answer

Explanation:

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2 years ago

What are the impact of SMEDAN on entrepreneurship

daser333 [38]

You can easily apply for loans and support funds both within and outside the country. It also grants you access to funding from the government and private sector.

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1 year ago

Dakota Company had net sales (at retail) of $260,000.

disa [49]

Answer:

$35,860

Explanation:

The computation of the ending inventory using the retail inventory method is shown below

Particulars Cost Retail

Opening Inventory(A) $63,800 $128,400

Purchases(B) $115,060 $196,800

Goods available

C=(A-B) $178,860 $325,200

Cost ratio

($178,860 ÷ $325,200 × 100) 55%

Sales at retail (D) $260,000

End, Inventory at Retail $65,200

($325,200 - $260,000)

End, Inventory at Cost $35,860

($65,200 × 55%)

8 0

3 years ago

Teller Co. is planning to sell 900 boxes of ceramic tile, with production estimated at 870 boxes during May. Each box of tile re

Shtirlitz [24]

Answer:

Budgeted overhead= $2,877.6

Explanation:

Giving the following information:

Direct labor required:

Production= 870 units

Direct labor hours= 870*0.25= 218 hours

Direct labor cost= $12 an hour

Manufacturing overhead is applied at a rate of 110% of direct labor costs.

To calculate the allocated overhead for the period, we need to use the following formula:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Direct labor cost= 218*12= $2,616

Allocated MOH= 1.1*2,616= $2,877.6

5 0

3 years ago