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2 years ago

Cost of goods sold is determined only at the end of the accounting period in.

Business

1 answer:

sladkih [1.3K]2 years ago

7 0

<h3>Answer:</h3>

Under the periodic inventory system.

What is periodic inventory system?

Under the periodic inventory system, the cost of goods sold determined at the end of an accounting period by adding the net cost of goods purchased to the beginning inventory and subtracting the ending inventory.

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Ivanhoe Diesel owns the Fredonia Barber Shop. He employs 5 barbers and pays each a base rate of $1,380 per month. One of the bar

ANTONII [103]

Answer:

Fredonia Barber Shop

a. Variable costs per haircut = $4.40

Total monthly fixed costs = $8,910

b. Break-even point in units = 1,350

Break-even point in sales dollars = $14,850

Net income with 1,670 haircuts = $2,120

Explanation:

a) Data and Calculations:

Fixed costs:

Wages of barbers per month = $6,900 ($1,380 * 5)

Manager's allowance per month = $535

Advertising per month = $270

Rent per month = $1,010

Utilities per month = $160

Magazines per month = $35

Total fixed costs per month = $8,910

Ivanhoe currently charges $11 per haircut.

Variable costs per haircut:

Commission per haircut = $3.75

Barber supplies per haircut = $0.50

Utilities per haircut = $0.15

Total variable costs per unit $4.40

Contribution margin per haircut = $6.60 ($11 - $4.40)

Contribution margin ratio = 0.6

Break-even point in units = $8,910/$6.60 = 1,350

Break-even point in sales dollars = $8,910/0.6 = $14,850

Net income assuming 1,670 haircuts for a month:

Sales revenue = $18,370 ($11 * 1,670)

Variable costs = 7,340 ($4.40 * 1,670)

Contribution $11,030

Fixed costs 8,910

Net income $2,120

8 0

3 years ago

Lolly, Lolly, Lollypop is a candy manufacturer building its brand nationally. In addition to advertising, the company is careful

Triss [41]

Answer:

Explanation:

Brand promotion passes a message through various aspects

4 0

3 years ago

For product costs associated with a particular product to be reported on the income statement:

RUDIKE [14]

Answer:

a. The product must be sold

Explanation:

Total revenue and total expenses are recorded in the income statement.

If the total income exceeds than the total expenditure then the company earns net income And if the total income is less than the total expenditure then the company has a net loss.

The product includes direct material cost, direct labor cost ,and the manufacturing overhead cost. If the product cost is not sold then it is shown in the asset side of the balance sheet as an inventory

And, if the product is sold, the same is subtracted from the cost of goods sold and shown in the income statement

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3 years ago

When jeffrey slipped on the stairs and hit his head, he saw "stars" for several minutes. The "stars" were most likely a result o

Kazeer [188]

I believe the answer is: occipital lobes

occipital lobes is a part of our brain that regulates our visual procesing and contain the largest amount of anatomical region for the visual cortex . A damage or impact that happen in this area could make us perceive that we are seeing things that we are not suppose to be seeing.

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3 years ago

A US Multi National Corporation has a contract for a relatively predictable long-term inflow of Japanese yen. The firm decides t

nika2105 [10]

Answer: a natural hedge

Explanation:

Natural hedge is simply a strategy that is used by a company in order to reduce risk and this is done through the investment in the assets that their performance is not positively correlated.

Such companies typically makes revenue in the currency of another country. Since the firm decides to hedge the yen exposure by finding a supplier in Japan and paying for these imports in yen, this hedging strategy is known as natural hedge.

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3 years ago