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antiseptic1488 [7]
2 years ago
15

On April 1, Robert LLC purchased two units of inventory, A and B. The cost of unit A was $650, and the cost of unit B was $625.

On April 30, Robert LLC had not sold the inventory. The market value of unit A was now $685 while the market value of unit B was $550. The journal entry associated with the lower-of-cost-or-market method on April 30 will be:
Business
1 answer:
attashe74 [19]2 years ago
3 0

Answer:

Debit : Cost of Goods Sold : $75

Credit : Inventory : $75

Explanation:

The lower-of-cost-or-market method is based on the conservative accounting theory. This is where company accounts are prepared with caution and verification. All losses are recorded as they are discovered whereas gains are recorded only after realised. In this case, there is a gain in Inventory A, hence it won’t be recorded as of yet. However, the value of Inventory B has reduced and this requires to be recorded.

The cost of Inventory B should be reduced to the lower net realizable value, hence it would be reduced by the difference : $625 - $550 = $75

Debit : Cost of Goods Sold : $75

Credit : Inventory : $75

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In the airline industry, consolidation among fuel providers serving airport facilities would be considered as ____ factor in the
faltersainse [42]

Answer:

The correct answer is letter "C": an increase in the bargaining power of suppliers of a critical input.

Explanation:

Porter's Five (5) Forces is an analysis scheme created by Harvard School Professor Michael E. Porter (<em>born in 1947</em>). The ultimate goal of this analysis is to help managers set their expectations because profitability decreases as competition increases. Three of the five forces relate to industry (horizontal) participants - <em>the threat of substitutes established rivals, and new entrants</em>. The other two relate to the vertical participants - <em>the bargaining of suppliers and consumers</em>.

In the case, as airline fuel suppliers are consolidating, this would represent the bargaining of suppliers factor in Porter's theory. They could joint to decide quantities supplied or even prices.

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2 years ago
How do the subheadings under "after high school" contribute to the organization of "career planning for high schoolers."? by inf
Delicious77 [7]

I believe the answer is: by informing readers of the education options being described

By putting the phrase  "After high schools" ,  readers would know that the information that being put below the phrase would include the set of options/paths that can be done after graduation. In most career planning forms, it would contain information regarding college, scholarships, and the type of careers that can be taken with current high school diploma.

3 0
2 years ago
Read 2 more answers
Crane is a nonprofit organization that captures stray deer bewildered within residential communities. Fixed costs are $10000. Th
dmitriy555 [2]

Answer:

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Knoll, inc. currently sells 15,000 units a month for $50 each, has variable costs of $20 per unit, and fixed costs of $300,000.
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Cost per unit
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Current profit
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3 0
2 years ago
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