Answer:
Rocky Mountain Bikes
Current moving average price is:
$25.43
Total inventory valuation is:
$11,443.50
Explanation:
Colorado warehouse:
Item Qty Price Moving Total Total Value
average price Qty
Inventory 50 $25.13 50 $1,256.50
Purchase 300 $25.54 $25.48 350 $8,918.50
Transfer 100 $25.25 $25.43 450 $11,443.50
Rocky Mountain Bikes' Colorado warehouse uses the moving average price to value the inventory. The moving average price is computed by creating a constantly updated average price. This smoothens the price data.
Beginning Inventory January 1 220 80 $17,600
Purchase January 15 310 90 27,900
purchase January 24 270 110 29,700
Calculate the number and cost of goods available for sale.
Answer:
Number = 1,490
Cost of goods available for sale = $75,200
Explanation:
Computing the number as:
Number = (Beginning inventory + Purchases + Purchases) - Sales
Number = (1,220 + 310 + 270) - 310
Number = 1,800 - 310
Number = 1,490
Computing the cost of goods available for sale as:
Cost of goods available for sale = Total cost of beginning inventory + Total Cost of purchase + Total Cost of purchase
Cost of goods available for sale = $17,600 + $27,900 + $29,700
Cost of goods available for sale = $75,200
Answer:
C. 22,000.
Explanation:
The company issued just 27,000 shares of the total autorized, before of reaquired the stocks these was the outstanding shares of common stock.
But later they decided to repurchased 5,000 shares this transcation in the open market it's known as treasury stock.
The company reacquired a portion of previously issued shares, in this case , 27,000 outstanding shares minus 5,000 shares repurchased by the company.
Answer:
$27.14
Explanation:
Calculation for the price of the firm's perpetual preferred stock
Using this formula
Price of the firm perpetual preferred stock = Annual dividend / Required return
Where,
Annual dividend =$1.90
Required return=7% or 0.07
Let plug in the formula
Price of the firm perpetual preferred stock = $1.90 / 0.07
Price of the firm perpetual preferred stock=$27.14
Therefore the Price of the firm perpetual preferred stock will be $27.14
a)$2,000 increaseb)$2,000 decreasec)$3,000 decreased)$15,000 increase
Answer:
c)$3,000 decrease
Explanation:
The sales less the variable cost gives the contribution margin. The contribution margin less the fixed cost gives the net operating income.
Considering the data given with respect to the special order, the net income would be equal to the sales less the additional cost which are variable and fixed.
net profit/(loss) from order
= 1000 ($15 - $5 - $12 - $1)
= ($3000)
Answer:
a)$2,000 increase
Explanation:
As fixed cost is the irrelevant expense in the decision making for the special order. It is avoidable cost.
Special Order
Quantity 1000 scales
Price $15 per sale
Less: Variable cost $12 per sale
Less: Shipping cost $1 per sale
Contribution margin $2 per scale
Total Contribution margin = 1,000 scales x $2 per scale = $2,000
Net Income will increase by $2,000 if the special order is accepted.
Answer: closed shop
Explanation:
From the question, we are informed that in the late 1930s management at Atalanta Industries agreed to hire only those workers who were already members of the Electrical Union.
It should be noted that here, Atlanta agreed to a type of arrangement known as closed shop. This occurs when the workers have to belong to a particular union before they'll be employed. This was legal in 1930 but it was later declared illegal by Taft Hartley Act.