Answer:
Financial management
Explanation:
The basic concepts regarding financial management can apply to all types ans sizes of organizations. Of course the work involved in managing the finances of a small partnership are not the same as those of an investment bank, but the basics remain. Finance is all about the value of money in time.
A company can have a very healthy balance sheet, but it may not be able to pay its utilities (electricity, water, gas) at the end of the month. That is why the net cash flow is so different than the income statement. A company may generate millions in revenue, but if they are not able to collect accounts receivables in time, it is useless.
Cash flow management is the number one priority in finance.
Answer:
a. $225, 000
b. $900, 000
c. $140, 000
Explanation:
Ralph Mini-Mart Store in Alpine:
(a) Beginning inventory: this is the value of inventory on hand at the beginning of the financial year. This is the value is the same as the value of ending inventory at the end of the previous financial year. This value includes the value of the inventory and any costs that were incurred to bring the inventory to the organization’s store house.
For Ralph Mini- Mart, beginning inventory = $225, 000 (refer to item 5)
(b) Transfers- In: this is the inventory that was purchased during the financial year. This value will include the cost of the inventory and any other costs that were incurred to bring the inventory to the store house of Ralph’s Mini – Mart. In this instance, the additional cost is the transportation cost of $30, 000 that was incurred to transport the inventory from the supplier to the warehouse.
For Ralph’s Mini – Mart, the Transfers – In = $870, 000 + $30, 000 = $900, 000 (refer to item 3 and 4)
(c) Ending balance: the ending balance is the value of inventory at the end of the financial year. This is the value of inventory that Ralph’s remains with after purchasing inventory from suppliers and selling inventory to customers. This value will take into account any inventory write- downs and obsolescence. In this instance, there has been no inventory write- downs and no inventory obsolescence or thefts.
For Ralph’s Mini – Mart, the value of ending inventory = $140, 000 (refer to item 5)
The correct answer is analytical.
Here, you need to use your own brain in order to understand things, and compare, contrast, or evaluate - so you have to analyze these tasks in order to complete them. This is why the intelligence component of the triarchic theory of intelligence that you are using is the analytical one.
Answer:
An advantage of using the retail method of inventory costing is
c.that it may be used as an aid in taking a physical inventory.
Explanation:
The retail inventory method is used by retailers that resell merchandise to estimate their ending inventory balances. This method is based on the relationship between the cost of merchandise and its retail price. The method is not entirely accurate, and so should be periodically supplemented by a physical inventory count. Its results are not adequate for the year-end financial statements, for which a high level of inventory record accuracy is needed.
