Answered step by step
Verified Expert Solution
Link Copied!
Question
1 Approved Answer

Question 1 At the end of the year 1, the company Svingen AB had 200 goods left in stock to a value of SEK 15,000.

Question 1 At the end of the year 1, the company Svingen AB had 200 goods left in stock to a value of SEK 15,000. The following purchases and sales were made during the second financial year:

1 January Purchase of goods on credit 700 pieces for a total of SEK 77,000

1 June Purchase of goods on credit 1,600 pieces for a total of SEK 160,000

1 August Sale of goods on credit, 1,600 pieces, unit price SEK 200

Answer the questions below regarding valuation of stock. The inventory's net sales value at the end of the year is SEK 95,000.

a) Enter the acquisition value in SEK at the end of the year in year 2, according to the FIFU method. ??????SEK

b) Enter the highest value in SEK that the stock can be valued at at the end of the year, year 2. ???????SEK

c) Enter the lowest value in SEK that the stock can be valued at at the end of the year, year 2. ????????SEK

d) What is the gross profit in SEK if UB inventory is valued at the maximum permissible value? ????????SEK

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

Financial Accounting

Authors: W. Steven Albrecht, James D. Stice, Earl Kay Stice, K. Fred Skousen, Albrecht S.E.

8th Edition

0324066708, 978-0324066708

More Books

Students explore these related Accounting questions