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I need help with the cost of goods sold to maximize gross profit and minimize gross profit You have the following information for Tamarisk, Inc..
I need help with the cost of goods sold to maximize gross profit and minimize gross profit
You have the following information for Tamarisk, Inc.. Tamarisk, Inc. uses the periodic method of accoun transactions. Tamarisk, Inc. only carries one brand and size of diamonds-all are identical. Each batch of carefully coded and marked with its purchase cost. March 1 Beginning inventory 137 diamonds at a cost of $328 per diamond. March 3 Purchased 202 diamonds at a cost of $382 each. March 5 Sold 190 diamonds for $611 each. March 10 Purchased 354 diamonds at a cost of $385 each. March 25 Sold 408 diamonds for $679 each. Assume that Tamarisk, Inc. uses the specific identification cost flow method. (1) Demonstrate how Tamarisk, Inc, could maximize its gross profit for the month by specifically select to sell on March 5 and March 25. To maximize gross profit, Tamarisk, Inc. should sell the diamonds with the cost. (2) Demonstrate how Tamarisk, Inc. could minimize its gross profit for the month by selecting whichd March 5 and March 25. To minimize gross profit, Tamarisk, Inc. should sell the diamonds with the highest & cost. Cost of goods sold to maximize gross profit Cost of goods sold to minimize gross profitStep by Step Solution
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