Answered step by step
Verified Expert Solution
Link Copied!

Question

...
1 Approved Answer

Question 6 During 2020, Swift Furniture Limited purchased a railway carload of wicker chairs. The manufacturer of the chairs sold them to Swifty for a

image text in transcribed
Question 6 During 2020, Swift Furniture Limited purchased a railway carload of wicker chairs. The manufacturer of the chairs sold them to Swifty for a lump sum of $58.100, because it was discontinuing manufacturing operations and wanted to dispose of its entire stock. Three types of chairs are induded in the carload. The three types and the estimated selling price for each are as follows: Estimated Selling Type No. of Chairs Price per Chair Lounge chairs 500 394 Straight chairs 660 54 Armchairs 290 79 Swifty estimates that the costs to sell this inventory would be $5 per chair. During 2020, Swifty sells 450 lounge chairs, 290 armchairs, and 190 straight chairs at the same prices estimated. At December 31, 2020, the remaining chairs were put on sale: the lounge chairs at 25% off the reputar price, the armchairs at 30% off, and the straight at 40% of were expected to be sold at these prices What is the total cost of the chair remaining In Inventory at the end of 2020, using the relative sides oe method? (Round percentages to 1 decimal place 527 am other amounts to 2 decimal places.. 52.75.) Total costs

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

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

Step: 2

blur-text-image

Step: 3

blur-text-image

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: LibbyShort

7th Edition

978-0078111020

Students also viewed these Accounting questions