Novelli's Nursery has developed the following data for lower of cost andnet realizable valuation for its products:Selling Price CostBroad leaf trees:AshBeechNeedle leaf trees:$ 1,800$ 1,7002,2001,600CedarFir$2,500 $1,7503,600 3,350Fruit trees:Apple$ 1,800$1,400Cherry2,3001,800The costs to sell are 10% of selling price.Required:Determine the reported inventory value assuming the lower of cost andnet realizable value rule is applied to individual trees.

To determine the reported inventory value using the lower of cost and net realizable value (LCNRV)…

Answered: Novelli's Nursery has developed the…

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter11: Differential Analysis And Product Pricing

Section: Chapter Questions

Problem 22E: Total cost method of product pricing Based on the data presented in Exercise 17, assume that Smart...

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Novelli's Nursery has developed the following data in order to calculate the lower of cost or net realizable value for its products. The individual products are listed within the categories of trees. SellingPrice Cost Broad leaf trees: Ash $ 2,080 $ 1,620 Beech 2,620 1,520 Needle leaf trees: Cedar $ 3,060 $ 1,670 Fir 4,300 3,270 Fruit trees: Apple $ 2,080 $ 1,320 Cherry 2,720 1,720 The costs to sell are 10% of selling price. Required:Determine the reported inventory value assuming the lower of cost or net realizable value rule is applied to categories of trees. Product Cost NRV Lower of Cost or NRV Ash Beech Broad leaf trees Cedar Fir Needle leaf trees Apple Cherry Fruit trees Inventory value
Novelli's Nursery has developed the following data in order to calculate the lower of cost or net realizable value for its products. The individual products are listed within the categories of trees. SellingPrice Cost Broad leaf trees: Ash $ 1,860 $ 1,760 Beech 2,290 1,660 Needle leaf trees: Cedar $ 2,620 $ 1,810 Fir 3,450 3,410 Fruit trees: Apple $ 1,860 $ 1,460 Cherry 2,390 1,860 The costs to sell are 10% of selling price. Required:Determine the reported inventory value assuming the lower of cost or net realizable value rule is applied to individual trees. Product Cost NRV Lower of Cost or NRV Ash Beech Cedar Fir Apple Cherry Inventory value
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12. Novelli's Nursery has developed the following data in order to calculate the lower of cost or net realizable value for its products. The individual products are listed within the categories of trees. SellingPrice Cost Broad leaf trees: Ash $ 1,980 $ 1,880 Beech 2,470 1,780 Needle leaf trees: Cedar $ 2,860 $ 1,930 Fir 4,050 3,530 Fruit trees: Apple $ 1,980 $ 1,580 Cherry 2,570 1,980
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Subject: acounting
This topic is about CVP Analysis. Please check the photo for the problem.
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Best Windows is a small company that installs windows. Its cost structure is as follows: Selling price from each window installation Variable cost of each window installation Annual fixed costs $ $ $ 160,000 Use (a) the equation method and (b) the contribution method to calculate operating income if Best installs 4,000 windows. Use (a) the Equation method to calculate operating income if Best installs 4,000 windows. Begin by determining the formula to calculate the operating income using the equation method. Then, calculate the operating income. (Abbreviation used: FC = Fixed costs, SP = Selling price, VCU = Variable cost per unit, Q = Quantity of units sold.) X X )-( )-( X X 700 600 X = Operating income = Next, use (b) the contribution method to calculate operating income if Best installs 4,000 windows. Begin by determining the formula to calculate the operating income using the contribution method. Then, calculate the operating income. = Operating income
Wilderness Products, Incorporated, has designed a self-inflating sleeping pad for use by backpackers and campers. The following information is available about the new product: a. An investment of $1,350,000 will be necessary to carry inventories and accounts receivable and to purchase some new equipment needed in the manufacturing process. The company's required rate of return is 24% on all investments. b. A standard cost card has been prepared for the sleeping pad, as shown below: Direct materials Direct labor Manufacturing overhead (20% variable) Total standard cost per pad Standard Quantity or Hours 4.0 yards 2.4 hours 2.4 hours Standard Price or Rate $2.70 per yard $8.00 per hour $12.50 per hour Standard Cost $10.80 19.20 30.00 $ 60.00 c. The only variable selling and administrative expense will be a sales commission of $9 per pad. The fixed selling and administrative expenses will be $732,000 per year. d. Because the company manufactures many products, no more than 38,400 direct…
Alpha Company’s Manager is considering selling price for product C.The company is using Absortion Costing in determining the total cost for each product.From the financial perspective, the company is planned to operate with cost:Production Expence Rp 3.000.000.000Administration Expense 200.000.000Marketing Expense 300.000.000The predicted total asset in the beginning year is Rp 4.000.000.000, and the return ofinvestment (ROI) is 25%Determine the mark up percentage for product C in Alpha Company using Cost-PlusPricing Method and Absortion Costing! From the results of the mark up percentage for product C in question above, determinethe selling price per kg using the Cost-Plus Pricing method based on the AbsortionCosting Approach and the company's normal capacity for product C of 1,000,000 kg!

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