An increase in the demand for a product will result in an increase in the demand for labor used to produce the product. Therefore, the correct answer to the question is not any of the options provided.
The demand for labor used to produce a product is a derived demand, meaning it is derived from the demand for the product itself. When the demand for a product increases, firms will need to produce more of that product, which will require an increase in the quantity of labor used in the production process. As a result, the demand curve for labor used to produce the product will shift to the right. It is important to note that an increase in demand for a product does not necessarily guarantee an increase in the demand for labor. Other factors, such as technology or changes in the cost of labor, could impact the labor demand curve in different ways. Additionally, shifts in the labor supply curve could also impact the equilibrium wage and quantity of labor hired. Overall, the relationship between product demand and labor demand is complex and depends on multiple factors.
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When you feel cold, you engage in behavior to reduce this unpleasant feeling, for example, by putting on your coat. This desire to reduce internal tension is a crucial aspect of ________ theory.
This desire to reduce internal tension is a crucial aspect of the drive-reduction theory.
What is drive-reduction theory?It corresponds to a psychological theory developed by Clark Hull, who believed that individuals are motivated to meet their basic needs, which are psychological and physiological needs.
Therefore, a behavior to reduce the unpleasant sensation of cold would be a physiological motivation proposed by the drive-reduction theory.
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The shares of Home Mortgage Corporation are publicly traded in securities markets. Home Mortgage Corporation is
The shares of Home Mortgage Corporation are publicly traded in securities markets. Home Mortgage Corporation is a publicly held corporation.
What is a public corporation?This is an organization, whose shares are openly traded on a stock exchange, which is owned by the government.
It is to be noted that a public corporation is one that has sold all or part of its stock to the general public through an initial public offering (IPO).
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Ted Catering received $920 cash in advance from a customer for catering services to be provided in three months. Determine the general journal entry that Ted Catering will make to record the cash receipt. Multiple Choice
Journal entry
Date account and explanation Debit credit
Cash 920
Unearned catering revenue 920
A magazine entry is a record of a business transaction for your business books. In double-entry bookkeeping, you're making a minimum of two magazine entries for every transaction. Due to the fact, that a transaction can create a variety of changes in an enterprise, a bookkeeper tracks all of them with magazine entries.
An example of journal access consists of the purchase of machinery through us of an in which the machinery account will be debited, and the cash account can be credited.
An instance of a magazine is a diary in which you write approximately what takes place to you and what you're questioning. An instance of a magazine is the new England magazine of medication, in which new research is posted which might be applicable to doctors and medicinal drugs.
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The government hires 2000 workers for new infrastructure projects. Over half of the newly hired construction workers were employed in other sectors of the economy and quit their jobs to take this better paying opportunity.
What types of fiscal polices are described?
This is an example of crowding out and expansionary fiscal policy. From a fiscal policy standpoint, the government implements expansionary policies by giving citizens more money through budgeting instruments. Budget deficits result from higher spending and lower taxation, which means that more money is going into the economy than is being taken out.
Tax reductions, transfer payments, refunds, and greater public investment on initiatives like infrastructure upgrades are all examples of expansionary fiscal policy. For instance, it might boost discretionary government expenditure, injecting additional cash into the economy via government contracts. Economic downturns and recessions are expected to be avoided through expansionary policies.
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If the marginal benefit of the first donut is 30 , the marginal benefit of the second donut is 15, and the marginal benefit of the third donut is 10, what is the total benefit from eating 2 donuts?.
The total benefit from eating 2 donuts is 45.
What Does Marginal Gain Mean?A consumer's utmost willingness to pay for an additional commodity or service is known as the marginal benefit. It also refers to the additional pleasure or utility that a customer experiences after purchasing the extra commodity or service. As a consumer consumes more of a good or service, their marginal benefit tends to drop.
The term "marginal revenue" is frequently used in the business world to describe the manufacturers' marginal gain.
Calculation:
The extra enjoyment attained from eating one more unit of the good is referred to as a marginal benefit. It alludes to the benefit brought on by consuming one additional unit of a good. Total satisfaction obtained from using products and services is the overall gain.
The combined advantages of eating the first two doughnuts equal the benefits of eating two doughnuts.
= 30 +45
=45.
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Todd Smith works at a retail store selling sports equipment. His daily tasks include opening the store, creating the work schedules, processing payroll, overseeing sales and inventory, and training employees. At what level of the organizational pyramid would you categorize Todd
Todd is at the managerial level of the organizational pyramid.
What is the organizational Pyramid?A well-liked form of organizational leadership in business is the pyramid structure. Because there are a lot fewer leaders than employees, an organizational chart that lists everyone on it naturally has a pyramid shape. Executives, managers, and personnel make the three main tiers of a pyramid organizational structure. The executive level is at the top of a pyramid organizational structure, which has declining levels from middle management to the lower levels staff of the organization. Each upper level of the structure is supposed to be supported by the pyramid's lower levels in order for it to work. This is a conventional organizational structure system that is frequently associated with bureaucracy.
What are the roles assigned to the three levels of the organizational pyramid?The fundamental idea behind a pyramid organizational structure is that lower levels of the company obey orders from higher up. In essence, the executives are in charge of all significant business operations. This covers the general vision, strategy, and operations. Managers typically work directly for executives and are in charge of overseeing certain divisions or goods. Staff assists managers by carrying out duties that carry out orders from the executive level.
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The Michener Corporation is trying to choose between the following two mutually exclusive design projects: 63000
The Michener Corporation Company must choose Project 2 as its more profitable. Here's why,
SOLUTION: -Profitability Index PI = ( PV of future cash flows) / Initial investment
PV of future cash flows = Σ CFn / ( 1 + r )ⁿ, where, CFn is the cash flow for year.
Required return = r = 11%
For Project 1,
PV of future Cash Flows
= 32000 / ( 1+0.11 ) + 32000 / ( 1+0.11 )² + 32000 / ( 1 + 0.11 )³ = $78198.87
Initial Investment = $63000
⇒ PI = 78198.87 / 63000 = 1.24
For Project 2,
PV of future Cash Flows
= 9750 / ( 1 + 0.11 ) + 9750 / ( 1 + 0.11 )² + 9750 / ( 1 + 0.11 )³ = $23826.21
Initial Investment = $18100
⇒P or profitability index = 23826.21 / 18100
= 1.32
Therefore, According to profitability index rule, project with highest PI should be selected. Hence, Project 2 should be selected.
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Match each term with its description. Tiles human capital right gross domestic product infrastructure physical capital Pairs the direction a production possibilities curve shifts when the economy grows
All are terms relating to Economic Growth.
Right: the direction a production possibilities curve shifts when the economy grows.Tiles: Physical CapitalHuman capital: the skills and knowledge that employees bring to their jobs.Infrastructure: the items necessary for a business or community to function, such as railroads, airports, hospitals, and Internet.What is Economic growth of a country?When comparing one period of time to another, economic growth is a rise in the production of economic commodities and services. It can be calculated in nominal or real (inflation-adjusted) terms. Although other metrics are also employed, gross national product (GNP) or gross domestic product (GDP) are the most common ways to quantify overall economic growth. An economy is said to be experiencing economic growth when its total output rises. Gains in overall production frequently, but not always, correlate with higher average marginal productivity.In economic growth, there is a gain in income, which encourages people to spend more money on goods and services, raising the standard of living or quality of life in tangible terms.
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Answer:
This is the correct answer.
Explanation:
What purpose does tesla serve in the economy?
Tesla has created over 1,500 jobs at its ATVM-supported facilities. The Department of Energy's investment in Tesla supports the commercial deployment of advanced technologies that help U.S. automakers remain competitive in the growing global advanced vehicle market. This is the purpose of tesla serving the economy.
The economy is the field of production, distribution, trade and consumption of goods and services. Generally, it is defined as a social domain emphasizing practices, discourses, and material expressions related to the production, use, and management of scarce resources.
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Household production, such as baking bread at home, is not included in gdp because it.
Household production, such as baking bread at home, is not included in GDP because it does not involve a market transaction.
What exactly is a market transaction?
The trading of commodities and services on a market. When calculating gross domestic product, the set of market transactions that take place in the economy is crucial (GDP). Market transactions offer the fundamental information that the Bureau of Economic Analysis' number crunchers use to start estimating GDP.
These number crunchers' objective is to assess economic production rather than merely market transactions. As a result, they boost economic production while removing those market transactions that do not entail it.
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Which of the following governs a limited partnership, its internal affairs, and the liability its limited partners
The correct option is : the law of the state in which it is organized.
What is limited partnership?Limited partnership (LP) is a type of partnership organization that limits the personal liability of some partners. In general partnerships, every partner remains personally liable for the debts and obligations of the partnership.
A limited partnership (LP)—not to be confused with a limited liability partnership (LLP)—is a partnership made up of two or more partners. The general partner oversees and runs the business while limited partners do not partake in managing the business. However, the general partner of a limited partnership has unlimited liability for the debt, and any limited partners have limited liability up to the amount of their investment.
There are three forms of partnerships:
Limited partnership.General partnership.Limited liability partnership.Therefore, we can conclude that the correct option is D.
Your question is incomplete, but most probably your full question was:
Which of the following governs a limited partnership, its internal affairs, and the liability its limited partners?
A. the federal government
B. all states in which the business operates
C. the articles of limited partnership
D. the law of the state in which it is organized
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Cisco is a 16-year-old with a part-time job. He makes $100 per week and spends $50 on car insurance each week. This is his only income and his only expense. Which type of budget would be easiest for Cisco?
A mental budget
He need just keep in mind that he generates a profit of $50 per week if he only receives $100 per week and spends $50 of that for car insurance. A mental budget would be ideal because it is not complicated.
What is mental budgeting?Mental budgeting is fairly prevalent, and it is explained by having saving objectives, financial knowledge, a time-oriented mindset, and financial circumstances. Additionally, having an overview of spending and current accounts, as well as household financial management, were positively correlated with mental budgeting, along with the effects of financial status, time orientation, and financial awareness.
I understand the question you are looking for is this:
Cisco is a 16-year-old with a part-time job. He makes $100 per week and spends $50 on car insurance each week. This is his only income and his only expense. Which type of budget would be easiest for Cisco?
A. a software-based budget
B. a mental budget
C. a physical budget
D. a written budget
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If you were going to get a loan to purchase a new car, which financial intermediary would you use?
a. an investment bank.
b. a credit union
c. a commercial ban
If you were going to get a loan to purchase a new car, financial intermediary you would use is a commercial bank.
Financial intermediary is that entity that acts as an intermediary or the middlemen between the two parties during any financial transaction.
Financial intermediaries can be a commercial bank, an investment bank, pension fund or the mutual funds.
Commercial bank is that financial institution which offers different financial functions such as accepting deposits, offers various loans, offering checking account facilities, and also offers some basic facilities such as saving accounts to the customers.
It provides personal loans, mortgages, commercial loans to the customers.
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As a percentage of u.s. gdp, today exports are _________ and imports are _______ than they were in 1950.
a. lower, lower
b. higher, higher
c. lower, higher
d. higher, lower
As a percentage of U.S GDP, today exports are higher and imports are lower than they were in 1950.
Option D. higher, lower.
In 2020, exports of goods and services from the United States accounted for approximately 10.13% of gross domestic product (GDP). This is up from his 9.25% of US GDP in 1990.
When a country exports goods, it sells them to foreign markets: consumers, businesses, or governments in other countries. These exports bring money to the country and increase the GDP of the exporting country.
US exports of goods and services (based on national income) account for approximately 14% of the US GDP. In recent years, the United States has: We export more services abroad than we import.
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What is the process of analyzing financial data with ratios to compare a firm performance to competitors?
Ratio analysis is the process of analyzing financial data with ratios to compare a firm performance to competitors.
It is calculated by dividing a company's profit after tax (EAT) by its total capital and multiplying the result by 100%. A common analytical tool for profitability metrics is a cross-sectional analysis, which compares metrics for multiple companies in the same industry.
Relationship analysis is the process of determining and interpreting relationships between items in financial statements. Its purpose is to provide a meaningful understanding of the company's performance and financial data. It is therefore a technique for calculating key figures and analyzing financial statements.
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The process of comparing a company's financial ratios to a competitor or the industry average is known as benchmarking.
Explanation:Benchmarking is the process of comparing a company's financial ratios to a competitor or the industry average. It is a strategic management tool used to identify areas of improvement and set performance targets.
By comparing key financial ratios such as profitability, liquidity, and efficiency, companies can evaluate their financial performance in relation to their competitors and industry standards. This analysis helps companies identify strengths and weaknesses and make informed decisions to improve their financial performance.
Benchmarking provides valuable insights into how a company is performing compared to its competitors and the industry as a whole. It allows companies to identify best practices and learn from successful competitors. By setting performance targets based on industry benchmarks, companies can strive to achieve higher levels of financial performance.
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Which of the following institutions makes up the largest part of the Federal Reserve System organization
The Correct answer choice for question 1 is : Federal Reserve Banks
What is Federal Reserve Banks?
While the Board of Governors is a sovereign government agency, the Federal Reserve Banks are set up like private companies. Member banks hold stock in the Federal Reserve Banks and earn profits. The Federal Reserve's interest is determined principally from the interest on U.S. government securities that it has received through open market operations.
AND
The Correct answer choice for question 2 is : Buy government securities
What is Recession?A recession is a business cycle recession which occurs in a general slowdown in financial activity. Macroeconomic indicators such as GDP, finance spending, capacity utilization, household income, business profits, and inflation fall, while failures and the unemployment rate rise.
Therefore, we can conclude that the correct option of 1 is (B) and 2 is (A).
Your question is incomplete, but most probably your full question was:
1. Which of the following institutions makes up the largest part of the Federal Reserve System organization?
A. Board of Governors
B. Federal Free Market Committee
C. Federal Reserve Banks
D. Member banks and other depository institutions
2. If the United States falls into a recession, which action would the Federal Reserve take to encourage employment?
A. Buy government securities
B. Increase reserve requirements
C. Raise federal funds and prime rates
D. Sell government securities
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Answer:
member banks and other depository institutions
Explanation:
just took the test
To partially eliminate the problems that are associated with the short-term focus of return on investment, residual income, and EVA, the performance of a division's major investments is commonly evaluated through: Select one: a. horizontal analysis. b. segmented reporting. c. performance operating plans. d. sensitivity analysis. e. postaudits.
To partially eliminate the problems that are associated with the short-term focus of return on investment, residual income, and EVA, the performance of a division's major investments is commonly evaluated through (E) post audits.
What are post audits?The post-audit procedure establishes a formal process (feedback) for assessing whether existing initiatives should be continued, extended, or discontinued. That is, the post-audit gives useful information that can be used to fix problems before an investment's performance is jeopardized.The purpose of the post-audit review process is to ensure that management has addressed all of the recommendations given in the Audit Report. The Post-Audit Review occurs shortly after the agreed-upon implementation deadline, which management committed to in the management response.Therefore, to partially eliminate the problems that are associated with the short-term focus of return on investment, residual income, and EVA, the performance of a division's major investments is commonly evaluated through (E) post audits.
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A waterfront home is valued at $3 million dollars. The seller and the buyer have assets of more than one million dollars. The parties have requested Designated Sales Associates, as each wants a single agent. What can the broker do
The broker may inform the buyer and seller that only non-residential transactions are eligible for the designated agency, and then request their signatures on a permission form before switching to transaction brokerage. This is further explained below.
What is a broker?Generally, a person who purchases and sells assets on behalf of other people.
In conclusion, The broker may inform the buyer and seller that authorized agencies are only permitted for non-residential transactions and get their signatures on a permission form before switching to transaction brokerage.
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What is the largest sector of the online travel services market in terms of revenue?
The largest sector of the online travel services market in terms of revenue is Airline Reservations.
An airline is a company that provides air transportation services to passengers and cargo while traveling. Airlines may use aircraft to provide these services and partner or partner with other airlines to enter into codeshare agreements to provide and operate the same flights.
In the aviation industry, airlines generally fall into three categories. That is legacy (or "network") airlines, low-cost carriers (LCC), and ultra-low-cost airlines (ULCC). The two airlines are not exactly the same, but almost all fall into one of these categories. American Airlines Group is the largest in fleet size, passengers carried, and passenger miles.
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____________reflect(s) the consequences of executing process steps. Group of answer choices Material Groups Organizational Data Transaction Data Project Management None of the above
(B) Transaction Data reflects the consequences of executing process steps.
What is transactional data?In the context of data management, transactional data is information recorded from transactions. In this sense, a transaction is a series of information exchanges and related activities (such as database updating) that is handled as a unit for the purpose of satisfying a request.Transaction Data reflects the outcomes of process steps being carried out.What is Organizational Data?Organizational data describe the fundamental properties of organizations, their internal structures and processes, and their behavior as corporate players in various social and economic environments.What is project management?Project management is the process of managing a team's effort to fulfill all project goals within the limits set. This data is typically described in project documentation, which is prepared at the start of the development process.As the definition itself states, Transaction Data reflects the outcomes of process steps being carried out.
Therefore, (B) transaction Data reflects the consequences of executing process steps.
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Complete question:
____________reflect(s) the consequences of executing process steps. Group of answer choices Material Groups
(A) Organizational Data
(B) Transaction Data
(C) Project Management
(D) None of the above
it is your job to take customer orders and ensure items are in stock. it is alex's job to package and deliver those istemrs to the custmoer.
it's his job to take customer orders and make sure the items are in stock, his role is a stockist, and it's alex's job to pack and deliver these istemrs to the customer, he's a packer.
What are the functions of a stockist?A stockist is responsible for managing the stock, receiving goods and knowing where each type of product is. This professional should organize the products and separate them by categories to make it easier to find them.
What is a packer?The Packer packs, bags and boxes the goods. He also provides support by transporting products to the various areas of an establishment. In addition to checking the weight, prices and codes of the merchandise, this professional is responsible for forwarding documents, objects and serving customers.
With this information, we can conclude that his role is a stock clerk, and it is the job of packer Alex.
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What is the correlation coefficient of the relationship between the average weekly hours spent studying and the score on the final exam?.
The correct answer is : Multiple R = 0.5049 (correlation coefficient )
What is Correlation Coefficient ?The correlation coefficient of the relationship between the average weekly hours spent studying and the score on the final exam can be determined/calculated via the relationship between the average weekly hours spent studying and the score of the final exam.
To find the correlation coefficient we will find the square root of R squared :
[tex]\sqrt{R - SQUARED}[/tex] [tex]=[/tex] [tex]\sqrt{0.2549}[/tex] [tex]=[/tex] [tex]0.5049[/tex]
Remember that for single variable linear regression, Multiple R, which is the square root of R2, is equal to the absolute value of the correlation coefficient. The regression coefficient for Average Weekly Hours Studying (0.03, as shown in the bottom table of the output) is positive, so the slope is of the regression line is positive. Therefore, the correlation coefficient must also be positive.
Your question is incomplete, but most probably your full question was:
SUMMARY OUTPUT
Dependent Variable: Score on Final Exam
Regression Statistics
Multiple R 0.5049
R Square 0.2549
Adjusted R Square 0.2394
Standard Error 0.15
Observations 50
ANOVA
df SS MS F Significance F Regression 1 0.36 0.36 16.42 0.0002
Residual 48 1.05 0.02
Total 49 1.41
Coefficients Standard t Stat P-Value Lower Upper
Error 95% 95%
Intercept 0.57 0.03 20.57 0.0000 0.52 0.63
Average Weekly
Hours Studying 0.03 0.01 4.05 0.0002 0.01 0.04
Therefore, we can conclude that the is : Multiple R = 0.5049 (correlation coefficient )
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ABC Lending requires mortgage borrowers to prepay 12 months of property taxes and insurance at closing. Where must these funds be held
ABC Lending requires mortgage borrowers to prepay 12 months of property taxes and insurance at closing. In Escrow account must these funds be held.
What is Escrow account ?When two parties to a financial transaction agree to hold valuables like money, property deeds, and personal financial papers in an escrow account until certain requirements are met, the account is maintained by an outside entity.
Escrow is a legal arrangement in which a third party accepts and disburses funds or property on behalf of the principal parties to a transaction, with the disbursement subject to terms established by those parties.
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What is the name for the practice whereby a married woman loses all of her political and economic rights to her husband?.
Coverture is the name for the practice whereby a married woman loses all of her political and economic rights to her husband. Hence, the correct answer is coverture. Read below about coverture.
What is coverture?Coverture was a legal doctrine in the English common law in which a married woman's legal existence was considered to be merged with that of her husband, so that she had no independent legal existence of her own.
Therefore, the correct answer is as given above
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As the ceo of one of these companies, how would you respond to calls to share your company’s ip and under what circumstances? How would a biblical worldview influence your decisions?
As the ceo of one of these companies, how would you respond to calls to share your company’s ip and under what circumstances
The Biblical worldview says there is a God—One who is personal, powerful and caring—who created the world and everything in it.
Cultivating a Biblical Worldview
Orgin – where did I come from?
Destiny – where am I going?
Purpose – why am I here?
Values – how should I live?
Truth – what is the truth?
If sharing truely makes experience. Partnering with a suitably qualified company can provide exquisite advantages.
A biblical worldview is depended upon the plans God has for my life, verses my personal desires, for example, I may need to be wealthy, however God may additionally simply want me to be at ease
The necessities inside the biblical worldview are:
God, humanity, Christ, recovery.“Worldviews no longer best effect how we apprehend and make experience of the sector round us however also have an impact on how we specific ourselves in the international. The constellation of personal values, beliefs, assumptions, attitudes, and thoughts that make up our worldview have an affect on our goals and goals, relationships and behaviors.
A biblical worldview affirms that God is the sovereign and almighty Lord of all lifestyles. Such an confirmation rejects any form of dualism, that count number has ceaselessly existed, or that be counted must, therefore, be evil given that it's far in principle opposed to God, the supply of all appropriate.
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The fee to be paid to a buyer's broker by a buyer-client is determined by agreement between:____.
The fee to be paid to a buyer's broker by a buyer-client is determined by the agreement between the buyer's broker and the buyer
A broker is an individual or company that acts as an intermediary between investors and a stock exchange. Brokers can also refer to the firm's role when acting as the client's agent and charging the client a fee for their services.
The definition of a broker is someone who buys and sells things on behalf of others. Someone you hire to buy stocks for you on the stock market is an example of a broker. They are intermediaries between two parties. In stock market jargon, a broker is a person or company that executes buy and sell orders for investors at a fee or commission.
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the government is one of three primary types of insurers. government insuarance provides protections against fundemental risks.
This government insurance program is an example of Social Security.
Social security is the protection that a society provides to individuals and households to ensure access to health care and to guarantee income security, particularly in cases of old age, unemployment, sickness, invalidity, work injury, maternity or loss of a breadwinner.
What is an Example of Social Security?An example of Social Security is a monthly check received by a retired worker which is based on the age of the worker and the amount of money the worker has earned over their work history. A federal program, created under the Social Security Act of 1935, that is designed to provide some financial support to retirees.Effective social security systems guarantee income security and health protection, thereby contributing to the prevention and reduction of poverty and inequality, and the promotion of social inclusion and human dignity.
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Correct Question - The government is one of three primary types of insurers. Government insurance provides protections against fundamental risks. This is an example of which government insurance program?
Suppose demand for soy beans, which are sold in a perfectly competitive market, permanently increases. What will happen to the price and quantity of soy beans in the long-run
Answer:
price will increase and the quantity will fall over time
Tanen inc. follows theory z and assumes a relationship between the company and the employee that is not typical in the united states. The company plans for?
Tanen inc. follows theory z and assumes a relationship between the company and the employee that is not typical in the united states. The company plans for long-term staff development and employment.
Developing staff members' knowledge, abilities, and competencies, in order to increase their effectiveness and efficiency for both themselves and the company, is referred to as staff development.
All types of development activities are included in staff development, including workshops, work shadowing, independent study, e-learning, internal or external courses, and scheduled experiences.
Within the constraints of the current budgetary allocation and the acknowledged business necessity, the Company shall endeavor to support persons in a number of ways.
Investing in staff development ensures that your business has the greatest team possible.
When staff members are adequately trained and that training is kept current, they can better assist consumers and provide an excellent customer experience.
Additionally, it demonstrates your willingness to invest in your employees, and they will reward you with greater loyalty and improved performance.
Hence, the company plans for long-term staff development and employment.
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Natalie is busy establishing both divisions of her business (cookie classes and mixer sales) and completing her business degree. Her goals for the next 11 months are to sell one mixer per month and to give two to three classes per week. The cost of the fine European mixers is expected to increase. Natalie has just negotiated new terms with Kzinski that include shipping costs in the negotiated purchase price (mixers will be shipped FOB destination). Assume that Natalie has decided to use a periodic inventory system and now must choose a cost flow assumption for her mixer inventory. Inventory as on January 31, 2022 represents three deluxe mixer purchased at a unit cost of $595.
The following transactions occur in February to May 2022.
Feb. 2 Natalie buys two deluxe mixers on account from Kzinski Supply Co. for $1,200 ($600 each), FOB destination, terms n/30.
16 She sells one deluxe mixer for $1,150 cash.
25 She pays the amount owed to Kzinski.
Mar. 2 She buys one deluxe mixer on account from Kzinski Supply Co. for $618, FOB destination, terms n/30.
30 Natalie sells two deluxe mixers for a total of $2,300 cash.
31 She pays the amount owed to Kzinski.
Apr. 1 She buys two deluxe mixers on account from Kzinski Supply Co. for $1,224 ($612 each), FOB destination, terms n/30.
13 She sells three deluxe mixers for a total of $3,450 cash.
30 Natalie pays the amounts owed to Kzinski.
May 4 She buys three deluxe mixers on account from Kzinski Supply Co. for $1,875 ($625 each), FOB destination, terms n/30.
27 She sells one deluxe mixer for $1,150 cash.
Determine the cost of goods available for sale. Cost of goods available for sale.
Answer:
LIFO:
Under LIFO method units purchased last are sold first.
Sold units included all units purchased on May 4, Apr. 1 and Mar. 2 and 1 unit purchased on Feb. 2
Cost of goods sold = 3*625+2*612+1*618+1*600 = $4,317
Ending inventory = Inventory as on January 31, 2014 and 1 unit purchased on Feb. 2 = 1785+600 = $2,385
Gross profit = sales-Cost of goods sold = 8050-4317 = $3,733
Gross profit rate = 3,733/8050 = 46.37%
FIFO:
Under FIFO method units purchased first are sold first.
Sold units included all units of beginning inventory, purchased on Feb 2, Mar 2 and 1 unit from Apr. 1 purchase
Cost of goods sold = 3*595+2*600+1*618+1*612 = $4,215
Ending inventory = 1 unit purchased on Apr 1 and all units of May 4 purchase = 612+1875 = $2,487
Gross profit = sales-Cost of goods sold = 8050-4,215= $3,835
Gross profit rate = 3,835/8050 = 47.64%
Average cost
Average cost per unit = 6702/11 = $609.273
Cost of goods sold = 7*609.273 = $4,264.91
Ending inventory = 4*609.273 = $2,437.09
Gross profit = sales-Cost of goods sold = 8050-4,264.91= $3785.09
Gross profit rate = 3785.09/8050 = 47.02%
Explanation: