On March 31 a company needed to estimate its ending inventory to prepare its first quarter financial statements. The following information is available:
Beginning inventory, January 1: $4,000
Net sales: $80,000
Net purchases: $78,000
The company's gross margin ratio is 25%. Using the gross profit method, the estimated ending inventory value would be:
A) $82,000.
B) $60,000.
C) $20,000.
D) $22,000.
E) $19,500.
D) $22,000.
You might also like to view...
Stage Technologies is a London-based company that supplies engineering solutions for the entertainment industry. It has helped the boy-band Westlife make a flying entrance onto stage and provided stage-rigging packages for Princess Cruise vessels. The company was established in 1994 after a couple of production designers decided that the automation of theater productions could be done more safely and more efficiently by using modular production rather than the old "build-as-needed" formula. The company installs wenches, stage lifts, and other equipment commonly used in stage productions. The equipment is designed so it can be operated from a single console without awkward or heavy lifting. Both opera companies and theaters see the benefit of such a system, but many are reluctant to buy
because of perceived costs. John Hastie and Mark Ager, the company's best salespeople, must design sales presentations that address these concerns.What should Hastie do once a theater manager has agreed to let Stage Technologies design and install a stage-rigging system? A. Leave the theater manager's office as early as possible. B. Experience post-sale dissonance. C. Ask the manager what plays the theater presented last season. D. Ask for a minute of silent meditation. E. Ask who provides the costumes for the theater's production.
Which of the following statements is CORRECT?
A. Call options give investors the right to sell a stock at a certain strike price before a specified date. B. Options typically sell for less than their exercise value. C. LEAPS are very short-term options that were created relatively recently and now trade in the market. D. An option holder is not entitled to receive dividends unless he or she exercises their option before the stock goes ex dividend. E. Put options give investors the right to buy a stock at a certain strike price before a specified date.
The loan that a lender provides to enable a borrower to purchase real property is a mortgage.
Answer the following statement true (T) or false (F)
Compensatory damages compensate a party injured by a breach of contract by punishing the party that breached the contract
Indicate whether the statement is true or false