Exhibit 9-1 The Happy Cereal Company includes a premium in each box of its cereal. For four premiums plus $2.00, customers are entitled to a plastic wiggle worm that costs Happy $4.50 each. Happy expects 60% of the premiums to be redeemed. In 2016, Happy sold 500,000 boxes of cereal and distributed 25,000 wiggle worms. Refer to Exhibit 9-1. What is Happy's estimated liability for unredeemed
premiums on December 31, 2016?
A) $125,000
B) $187,500
C) $225,000
D) $337,500
A
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Singleton Company's perpetual inventory records included the following information:Date?Number of units and unit costTotal CostJanuary 1Beginning inventory380 units @ $16$6,080?March 4Purchase330 units @ $26.00$8,580?September 28Purchase710 units @ $18$12,780?Number of units sold during the year: 1,060If Singleton uses the weighted-average cost flow method, its average cost per unit would be $26.00.
Answer the following statement true (T) or false (F)
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