A company's ______ can be described as the set of values, ideas, and attributes that is learned and shared among its members

Home Furnishings reports inventory using the lower of cost and net realizable value (NRV). Below is information for its year end

solniwko [45]

Answer:

1.$37,000

2.$32,000/

Explanation:

1. Calculation to the Cost of ending inventory before any adjustment

Inventory Quantity Unit Cost Total cost

Furniture 200* $85 = $17,000

Electronics 50* $400= $20,000

Cost of ending inventory before any adjustment =$37,000

Therefore the Cost of ending inventory before any adjustment will be $37,000

2. Calculation to determine the ending inventory using the lower of cost and net realizable value.

Inventory Quantity Unit NRV

Furniture 200* $100 =$20,000

Electronics 50* $300= $15,000

Total cost of ending inventory using lower of cost and net realizable value (NRV) $32,000

Therefore the ending inventory using the lower of cost and net realizable value will be $32,000

5 0

3 years ago

Chico Company paid $560,000 for a basket purchase that included office furniture, a building and land. An appraiser provided the

s2008m [1.1K]

Answer: $110,432

Explanation:

The cost allocated to the Office furniture is the percentage of total appraised cost * the price paid for the basket purchase because it shows what proportion of the Basket Purchase should be ascribed to the Office furniture.

Total Appraised value = 140,000 + 460,000 + 110,000

= $710,000

Office furniture Proportion = 140,000/710,000

= 0.1971830985

=0.1972

Amount to be allocated to Office furniture = 0.1972 * 560,000

= $110,432

$110,432 should be allocated to the office furniture.

= $110,422.

3 0

2 years ago

Prior to adjustment at August 31, Salaries Expense has a debit balance of $272,650. Salaries owed but not paid as of the same da

zlopas [31]

Answer:

A. Dr Salary Expense $3,140

Cr Salary expense outstanding $3,140

B. Dr Income summary $275,790

Cr Salary expense $275,790

Explanation:

A. Preparation of the adjusting entry to record accrued salaries as of August 31

August 31

Dr Salary Expense $3,140

Cr Salary expense outstanding $3,140

(To record accrued salaries)

B. Preparation of the Closing entry on August 31

August 31

Dr Income summary $275,790

Cr Salary expense $275,790

($272,650+$3,140)

(To record Closing entry)

5 0

2 years ago

Manuel has plans to go to a movie and already has a $10 nonrefundable, nonexchangeable, and nontransferable ticket. Now Poornima

Verdich [7]

Answer:

3. Correctly ignored a sunk cost

Explanation:

Sunk costs refer to those costs which have been incurred in the past and which can no longer be recovered. For example, past expenditure on research and development with no current or future benefits represent sunk costs which can no longer be recovered.

Sunk costs are irrelevant for decision making process as they do not relate to current projects and yield no economic benefit.

In the given case, Manuel had already purchased a $10 movie ticket, which can neither be transferred nor eligible for a refund. Later when he does not exercise the option of going for the movie and opts for a concert instead, the amount of 10$ spent on the movie represents a sunk cost which is non recoverable.

8 0

2 years ago

BrainTrust Company produces and sells educational toys for children. In pricing its product, the company needs to make sure it p

gayaneshka [121]

Complete Question:

BrainTrust company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is what percentage of total distribution cost?

a. 50%

b. 75%

c. 30%

d. 100%

Answer:

a. 50%

Explanation:

In this scenario, BrainTrust Company produces and sells educational toys for children. In pricing its product, the company needs to make sure it properly estimates its costs. The company can safely estimate that transportation is 50% of total distribution cost.

In supply chain management, the total distribution cost can be defined as the overall expenses incurred by a manufacturer in the process of delivering finished goods and services from the production stage to the final consumer. The total distribution cost can either be direct or indirect expenses incurred on insurance, handling, storage, shipping, packing and logistics.

<em>Generally, the total amount spent on the movement of goods and services from one location to another, usually accounts for half (50%) of the overall expenses incurred in total distribution cost. </em>

8 0

3 years ago