A company selling designer watches bought 400 for 60 each. Normal selling price is 100 per watch,

Question:

A company selling designer watches bought 400 for £60 each. Normal selling price is

£100 per watch, but a change in fashion has resulted in all the watches being saleable at only £30 each, after a different strap, costing £2 each, has been fitted to them. How should the inventory of watches be valued?

(a) £11,200

(b) £24,000

(c) £39,200

(d) £12,000

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Accounting And Finance For Business

ISBN: 9780273773948

1st Edition

Authors: Geoff Black, Mahmoud Al-Kilani

See More Books

Question Posted: Jul 02, 2024 09:01 AM

See More Questions

Solve the problem, showing all work needed to support your answer. 16) Your company uses the quadratic model y = -11x2 + 350x to represent how many units (y) of a new product will be sold (x) weeks...
What does margin mean? 1) The change in the broker loan resulting from a change in market price. The amount of credit loaned by the broker to buy on margin. 2) 3) The amount of cash that the investor...
A company selling designer watches bought 400 for 60 each. Normal selling price is 100 per watch, but a change in fashion has resulted in all the watches being saleable at only 30 each, after a...
Its estimated that the average corporate user sends and receives some 112 e-mails daily.78 Thats about 14 e-mails per hour, and even if half of those dont require a lot of time and concentration,...
Are there margin requirements for the following positions? Explain why or why not. a. Buy an interest rate cap b. Sell a put option on Eurodollar futures c. Sell an interest rate floor d. Sell a...
The balance sheet and a comparative statement (budget-to-actual) of revenues, expenditures, and changes in fund balance of the City of Boulder, Colorados general obligation debt service fund (date...
(b) Analysing measurements made on each occasion separately, and using the block factor and the treatment factor as model terms, perform analyses of variance on the measurements of fibre diameter...
Jean and Tom Perritz own and manage Happy Home Helpers, Inc. (HHH), a house-cleaning service. Each cleaning (cleaning one house one time) takes a team of three house cleaners about 1.5 hours. On...
Roberts Enterprises has budgeted sales in units for the next five months as follows: June 4,630 units July 7,750 units August 5,430 units September 6,960 units October 3,830 units Past experience has...
What is a doubtful debt? (a) A debt where there is some hope of getting paid; even though payment is delaye (b) A debt where there is no hope of getting paid (c) A debt which is bad (d) A debt where...
A company starts business on 1 January. In that month it buys 300 grecks at 40 each, then 200 at 50 each. On the last day of the month it sells 400 grecks. If it uses FIFO to value inventory, what is...
Have you ever stopped to think about the network you already belong to?
Conservation efforts include reintroduction of species into the wild from captive breeding programs. Leung et al. (2018) rewilded mice from the inbred laboratory strain of mouse, C57BL/6, that had...
The ending balance of the Accounts Receivable account was $\$ 7,800$. Services billed to customers for the period were $\$ 21,500$, and collections on account from customers were $\$ 23,600$....
Cash Flow Activity Classification Classify each activity as financing, investing, or operating: 1. Repay a loan from a bank. 2. Sell merchandise from a storefront operation. 3. Dispose of an old...
Generally Accepted Accounting Principles Select the best answer to each of the following MBC) questions: 1. Accounting rules are developed to provide: a. Simplicity b. Useful information c....
Basic Accounting Principles Identify whether the following statements are true or false. 1. Together the revenue recognition principle and the expense recognition (matching) principle define the...
Why do products enter the decline stage of the product life cycle? Discuss marketers options at this stage.
Cable Corporation is 60% owned by Anna and 40% owned by Jim, who are unrelated. It has noncash assets, which it sells to an unrelated purchaser for $100,000 in cash and $900,000 in installment...
Regarding research and experimental expenditures, which of the following are not qualified expenditures? 3 a. costs of ordinary testing of materials b. costs to develop a plant process c. costs of...
Port Ormond Carpet Company manufactures carpets. Fiber is placed in process in the Spinning Department, where it is spun into yarn. The output of the Spinning Department is transferred to the Tufting...
Oct. 31: Paid salaries, $45,000 ( 75% selling, 25% administrtive). Data table Data table them to retail stores. The company has three inventory items: and floor lamps. RLC uses a perpetual inventory...

A company selling designer watches bought 400 for 60 each. Normal selling price is 100 per watch,

Question:

Step by Step Answer:

Accounting And Finance For Business

Students also viewed these Business questions