Question
A manufacturing company prices its goods to achieve a gross profit of 40 percent. The total cost of goods available for sale during the period
A manufacturing company prices its goods to achieve a gross profit of 40 percent. The total cost of goods available for sale during the period was $350,000. Sales revenue was $500,000 during the period. What is the estimated cost of the unsold (ending) inventory, using the gross profit estimation method?
| A)$90,000 | B)$50,000 |
| C)$300,000 | D)$150,000 |
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Survey of Accounting
Authors: Carl S. Warren
7th edition
1285974360, 1285183487, 9781285974361, 978-1285183480
