Gibson company began august with 200 units of product br having a unit cost of $8 in inventory. relevant information is listed as follows: if gibson company uses the average cost method inventory cost flow assumption, what amount will it report as gross profit for august?

Answers

Answer 1

Answer:

ANSWER: To calculate the gross profit for the month of August, Gibson will have to find out the sales in his company. Gibson had a opening stock of 200 units of products valuing $8 per unit. The total value of the stock available at the opening of the month is $8 x 200 units = $1,600. If he uses the average cost method to calculate the inventory cost, he will need the opening stock and the production done in the month of August. This will give him the figure which will show his entire stock which were available for sale in the month.

Let's assume the entire stock produced in the month of August to be 'x', so the total stock available for sale was '$1,600+x'. This amount needs to be subtracted by the closing stock of the month to get the actual value of sales that has happened during the month of August. So, dividing the actual value of sales by the production cost of the sold number of units will give Gibson the gross profit for the month of August.

Answer 2

Answer:

Final answer:

To calculate gross profit using the average cost method, the average unit cost is calculated when more units are purchased. To work out the cost of goods sold (COGS), this average unit cost is multiplied by the number of units sold. Subtracting COGS from the total revenue gives the gross profit.

Explanation:

It is not possible to provide a precise answer without more details, as the gross profit depends on revenue and cost data that is not provided in the question. However, it is possible to explain the process of determining the gross profit when the company uses the average cost method. First, compute the total inventory cost by multiplying the beginning inventory units by their unit cost. The average unit cost is calculated whenever more units are purchased, by dividing the total cost of all units by the total number of units. Each time a sale occurs, the cost of goods sold (COGS) is computed by multiplying the number of units sold by the average unit cost.

To get gross profit, subtract the cost of goods sold (COGS) from total revenue. The total revenue is the product of the selling price per unit and the number of units sold. Once that is found, it is possible to subtract the cost of goods sold (COGS) from the revenue to identify the gross profit.

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Answers

Answer:

The correct answer is option C.

Explanation:

An increase in income tax will cause the disposable income of the consumers to decline. It will thus reduce consumer spending.

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Answers

Answer:

C. Defensiveness

Explanation:

Correct.

Answer:

C. Defensiveness

Explanation:

Report the other answer because we're speaking English for the answers lol

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Answers

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