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3 months ago
12

Kesler, Inc. estimates the cost of its physical inventory at March 31 for use in an interim financial statement. The rate of mar

kup on cost is 25%. The following account balances are available: Inventory, March 1 $440,000 Purchases 344,000 Purchase returns 16,000 Sales during March 600,000 The estimate of the cost of inventory at March 31 would be:
Business
1 answer:
marusya05 [3.7K]3 months ago
6 0

Answer:

$288,000

Explanation:

Provided data includes:

Cost markup rate = 25%

Available inventory account balance =  $440,000

Purchases total $344,000

Returned purchases amount to $16,000

Thus, Net purchase = total purchases - purchase returns

= $344,000 - $16,000 = $328,000

Sales executed during March total $600,000

Accordingly,

cost of products = 600,000 / 1.25 = $480,000

Therefore,

inventory cost = Available account balance + Net purchases - cost of sold products

or

inventory cost =  $440,000 + $328,000 - $480,000 = $288,000

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At the beginning of the year, Brick Makers had cash of $183, accounts receivable of $392, accounts payable of $463, and inventor
marusya05 [3725]

Answer:

Net source amount is $15

Explanation:Working\ capital= Current\ assets-Current\ liabilities

source\ of\ cash =[Cash+AR+Inventory]- [Amount\ Payable]

cash = $183

received sum = $392

inventory total =$714

accounts payable total =$463

current assets = (183+392+714)-463=$826

current liabilities =(167+682+409-447)=$811

cash at year end = $167

total received = $409

inventory value =$682

accounts payable total =$447

current liabilities at year end =(167+682+409-447)=$811

Thus, as current liabilities exceed current assets, there will be a loss in accounts

Therefore, the cash source is calculated as (826-811) = $15.

7 0
3 months ago
10) A blue ocean strategy A. B) involves a preemptive strike to secure an advantageous position in a fast-growing market segment
arsen [3447]

Response:

The answer is D) promotes revenue and profit growth by uncovering or creating a new industry or unique market segment that makes competitors less relevant and enables a company to establish and fulfill entirely new demand.

Clarification:

The blue ocean strategy represents a marketing concept that encourages businesses to ignore existing competition and concentrate instead on crafting their own opportunities for growth. This approach enables the identification of more significant factors for success that often remain overlooked due to the ongoing price competition in the market.

4 0
3 months ago
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