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777dan777 [17]
3 years ago
6

A company using the perpetual inventory method paid $200 cash to have goods delivered from one of its suppliers. The payment of

$200 for transportation-in is considered:__________.
Business
1 answer:
Montano1993 [528]3 years ago
5 0

Answer:

An asset exchange transaction which increases the cost of the purchased merchandise.

The firm gives the transportation company money (which is an asset) and since the transportation costs are included in the cost of the merchandise, the firm is paying a fraction of the cost of the asset.

When you are calculating the purchase cost of goods you must include the price of the goods, transportation costs, and any other associated expense like insurance costs and import fees, etc.

Transportation costs are only included in the COGS when the firm acquires the goods, but when the firm sells the goods, any distribution cost is not included under production costs, instead they are included under the sales costs.

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Formula for average inventory ​
morpeh [17]

The average of inventory is the average amount of inventory available in stock for a specific period.


To calculate the average of inventory, take the current period inventory balance and add it to the prior period inventory balance. Divide the total by two to get the average inventory amount.
6 0
3 years ago
____ consumption occurs when consumers "set apart" objects and events from normal activities and treat them with respect. ____ c
solong [7]

Answer:

  • Sacred consumption
  • Profane consumption

Explanation:

This differentiation is based on special religious events (e.g. religious holidays) that considered some goods as sacred, while profane had to do with everyday life.

Some modern marketing strategies try to build sacred brands. For example, Google has become our God of all knowledge and no one even dares to challenge that almost religious belief. Anyone can make their own coffee or buy coffee at any coffee shop, but Starbucks is different, it has built a sense of emotional connection with the public. It's not any coffee that we need or want.  

6 0
3 years ago
What is an example of credit? A) A person withdraws money from a bank account using an ATM card. B) A person borrows money from
ahrayia [7]

Answer:

b

Explanation:

An example of credit is when a person borrows money from a finance company to buy a car. Once credit is extended to a person and is used for a purchase, the credit is converted to a debt, and the person has the financial obligation to repay the loan.

7 0
3 years ago
Read 2 more answers
The following is the adjusted year-end trial balance at December 31, 2018, of Wilson Trucking Company. Account Title Debit Credi
mariarad [96]

Answer:

Income Statment:

Trucking fees earned                 130,000

Depreciation expense—Trucks (23,500)

Salaries expense                         (61,000)

Office supplies expense               (8,000)

Repairs expense—Trucks        <u>  (12,000)  </u>

                  Net Income               25,500

Retained Earnings

Beginning       155,000

Net Income      25,500

Dividends     <u>  (20,000)  </u>

Ending            160,500

Balance Sheet:

Cash                             8,000    Accounts payable         12,000

Accounts receivable  17,500     Interest payable             4,000

Office supplies          <u>   3,000 </u>    Total current liabilities 16,000

Total Current Assets: 28,500    Long-term                     53,000

Trucks (net)               136,000   Total liabilities                69,000

Land                          <u> 85,000</u>    Common Stock             20,000

Total non-current     221,000    Retained Earnings      160,500

                                                   Total Equity                 180,500

Total Assets             249,500    Liabilities + Equity    249,500

Explanation:

For the income statement we list the revenue and then, we subtract all the expenses account.

Retained Earnings will be beginning + income - dividends. This value will go into the balance sheet.

For the balance sheet, we display assets into both categories:

current: who are going to be converted into cash within a year.

and non-current like the truck and the land which are going to be in the company's book for more than a year before converting into cash.

Liabilities and equity will be in the other side and their sum should match the total assets.

6 0
3 years ago
When current real output exceeds potential real output, the federal reserve will _____ interest rates in an effort to fight ____
Serggg [28]
<span>When current real output exceeds potential real output, the federal reserve will increase interest rates in an effort to fight inflation.
Fed stands for federal reserve system and it refers to the </span>central banking system of the United States, which  was created on December 23, 1913.<span> There are twelve regional banks that are included in the Federal Reserve System.</span>
5 0
3 years ago
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