Corel Sales sold its old office furniture for $6,500. The original cost was $15,000, and at the time of sale, accumulated depreciation was $14,000. What is the effect of this transaction?
A) gain of $6,500
B) gain of $5,500
C) loss of $5,500
D) loss of $6,500
B .Gain on sale = $6,500 - ($15,000 - $14,000 ) = $5,500
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All of the following statements regarding inventory shrinkage are true except:
A. Inventory shrinkage can be caused by theft or deterioration. B. Inventory shrinkage is recognized by debiting an operating expense. C. Inventory shrinkage is recognized by debiting Cost of Goods Sold. D. Inventory shrinkage refers to the loss of inventory. E. Inventory shrinkage is determined by comparing a physical count of inventory with recorded inventory amounts.
McCoy Brothers manufactures and sells two products, A and Z in the ratio of 5:2. Product A sells for $75; Z sells for $95. Variable costs for product A are $35; for Z $40. Fixed costs are $418,500. Compute the number of units of Product A McCoy must sell to break even.
A. 10,463. B. 1,350. C. 6,200. D. 2,700. E. 6,750.
Consider the following inventory transactions for September: Beginning inventory15units@$3.00 Purchase on September 1220units@$3.50 Purchased on September 2310units@$4.00 For the month of September, the company sold 35 units. What is cost of goods sold under the weighted-average cost method? (Round weighted-average unit cost to 4 decimals)
A. $116. B. $131. C. $121. D. $124.
What is a component lifestyle? Describe how a college student follows a component lifestyle. Use specific examples.
What will be an ideal response?