Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

In 2019, Tramore's Threads, Inc. (a retail clothing company) sold 559,000 units of its product at an average price of $39.00 per unit. The company

image text in transcribed
In 2019, Tramore's Threads, Inc. (a retail clothing company) sold 559,000 units of its product at an average price of $39.00 per unit. The company reported estimated returns and allowances in 2019 of 0.8 percent of gross revenue. Tramore's Threads, Inc. actually purchased 500,000 units of its product from its manufacturer in 2019 at an average cost of $19.00 per unit. Tramore's Threads, Inc. began 2019 with 480,000 units of its product in inventory (carried at an average cost of $19.00 per unit). Operating expenses (excluding depreciation) for Tramore's Threads, Inc. in 2019 were $3,410,000 and depreciation expense was $238,000. Tramore's Threads, Inc. had $15,500,000 in debt outstanding throughout all of 2019. This debt carried an average interest rate of 4.5 percent. Finally, Tramore's Threads, Inc. tax rate was 35 percent. Tramore's Threads, Inc. fiscal year runs from January 1 through December 31. Given this information, what did Tramore's Threads, Inc. record as ending inventory on the company's 2019 balance sheet. Record your number as a dollar amount rounded to 0 decimal places, but do not include a dollar sign or any commas in your answer. For example, enter $32,903.82185 as 32904. If your answer is a negative amount, place a hyphen (-) before the number with no space between the hyphen and the number. For examp enter negative $39,253 as -39253. Your

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Multinational Business Finance

Authors: David K. Eiteman, Arthur I. Stonehill, Michael H. Moffett

11th Edition

0321357965, 978-0321357960

More Books

Students also viewed these Finance questions

Question

please try to give correct answer 6 3 3 . .

Answered: 1 week ago

Question

=+How would you change the tone of voice?

Answered: 1 week ago