Metro Retail's perpetual inventory system shows 2,000 units, but physical count reveals 1,850 units. Each unit costs $40. What is the amount of inventory shrinkage.

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter20: Inventory Management: Economic Order Quantity, Jit, And The Theory Of Constraints
Section: Chapter Questions
Problem 6E: Ottis, Inc., uses 640,000 plastic housing units each year in its production of paper shredders. The...
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What is the amount of inventory shrinkage.

Metro Retail's perpetual inventory system
shows 2,000 units, but physical count reveals
1,850 units. Each unit costs $40. What is the
amount of inventory shrinkage.
Transcribed Image Text:Metro Retail's perpetual inventory system shows 2,000 units, but physical count reveals 1,850 units. Each unit costs $40. What is the amount of inventory shrinkage.
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