A company normally sells its product for $20 per unit. This company's current inventory consists of 200 units purchased at $16 per unit. Replacement cost has now fallen to $13 per unit. Calculate the value of this company's inventory at a lower cost or market. A) $2,550 B) $2,600 C) $3,000 D) $3,200
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- answer in text form please (without image), Note: .Every entry should have narration pleaseChamiching makes hacksaw blades. Inventory values are determined using the first in, first out (FIFO) method. Production and sales data for the first three years appear below. Hacksaw blades Sold Produced Yr 1 18,000 22,000 Yr 2 25,000 23,000 Yr 3 37,000 35,000 Sales price Full cost Yr 1 $10.00 $6.00 Yr 2 $11.00 $6.60 Yr 3 $12.00 $7.60 In the first year, variable costs accounted for half of the full costs. Total fixed production costs increased each subsequent year by 20%, as a result of step-fixed costs and a general inflationary price increase. For Chamiching, which of the following is true? Variable costing income (VCI) exceeds full costing income (FCI) every year VCI exceeds FCI in Yrs 1 and 2 only VCI exceeds FCI in Yrs 2 and 3 only VCI never exceeds FCIYale Company manufactures hair brushes that sell at wholesale for $3 per unit. The company had no beginning inventory in the prior year. These data summarize the current and prior year operations: Prior Year Current Year Sales (000s) 2,300 units 3, 700 units Production (000s) 3,000 units 3,000 units Production cost Factory-variable (per unit) $ 0.60 $ 0.60 —fixed (000s ) $ 1,500 $1,500 Marketing-variable (per unit) $ 0.40 $ 0.40 Administrative-fixed (000s) $ 500 $ 500 Required: 1. Prepare an income statement for each year based on full costing. 2. Prepare an income statement for each year based on variable costing. 3. Prepare a reconciliation of the difference each year in the operating income resulting from using the full costing method and variable costing method.Complete this question by entering your answers in the tabs below. Required 1 Prepare an income statement for each year based on full costing. (Enter your answers in thousands of dollars.)
- In its first month of operation, Waterway Industries purchased 340 units of inventory for $9, then 440 units for $10, and finally 380 units for $11. At the end of the month, 420 units remained.Compute the amount of phantom profit that would result if the company used FIFO rather than LIFO. Phantom Profit =?What am I missingPlease provide solution
- Delta Company produces a single product. The cost of producing and selling a single unit of this product at the company's normal activity level of 87,600 units per year is: Direct materials Direct labor $ 2.00 $ 3.00 $ 0.70 Variable manufacturing overhead Fixed manufacturing overhead $ 3.85 Variable selling and administrative expense $ 1.20 Fixed selling and administrative expense $ 2.00 The normal selling price is $21.00 per unit. The company's capacity is 102,000 units per year. An order has been received from a mail-order house for 1,200 units at a special price of $18.00 per unit. This order would not affect regular sales or the company's total fixed costs. Required: 1. What is the financial advantage (disadvantage) of accepting the special order? 2. As a separate matter from the special order, assume the company's inventory includes 1,000 units of this product that were produced last year and that are inferior to the current model. The units must be sold through regular channels…VishnuPlease do not give solution in image format ?
- B. Massy Estate, a subsidiary of Hollywood Estate had the following inventory items at the end of its financial year 30 September 2021: Units Cost per Unit ($) Raw materials 5 000 25 Work in progress 2 000 30 Finished goods 1 000 35 Finished items usually sell for $50 per unit. However, water damage caused by improper storage of inventory will mean that 300 units of finished goods will be sold at 60% of the normal selling price less costs to sell of $5 per item. Required: In accordance with IAS 2 Inventories, at what amount should inventories be stated in the statement of financial position of Massy Estate at 30 September 2021. Complete the schedule provided. Units Cost ($) NRV ($) Total ($) Raw materials: Work in progress: Finished goods: TotalDo not give answer in imageIn June 2019, Juggle Ade produced 6,000 jars of powdered drink mix and sold 5,000 jars.The sale price was $54 per jar. Variable costs were $20 per case ($16 manufacturing and $4 selling & administrative) and total fixed costs were $90,000 ($70,000 manufacturing and$20,000 selling & administrative).The company had no beginning inventory. Required:a) Calculate the following for Juggle Adei) The total cost per unitii) The value of ending inventories using marginal costingiii) The value of ending inventories using total costing b) Prepare the June income statement for Juggle Ade using variable costing, clearlyshowing contribution and the components of total fixed costs.