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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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
q1- Bunning Warehouse wants to balance the prices for selling 500 trees. Data is in the screenshot. Using Goal seek, what percentage of the trees should be sold at the highest price to achieve a $7,500 total profit?
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Chick-Fil-A is the Cure for COVID (CCC) is the generic brand for the market. Relevant cost information is provided below: Desired profit $120,000 Per unit variable cost $6.00 Total fixed costs $54,000 Average market price $58.00 Units 3,000 Using the information provided, what is CCC’s selling price? Chick-Fil-A is the Cure for COVID (CCC) is the generic brand for the market. Relevant cost information is provided below: Desired profit $120,000 Per unit variable cost $6.00 Total fixed costs $54,000 Average market price $58.00 Units 3,000 Using the information provided, what is CCC’s selling price? $52.00 $28.00 $64.00 $58.00
PLEASE ANSWER ASAP! THANK YOU! 1. After determining the total product cost of P100.00 per unit, Mr. Abecee the owner, decided to set mark-up of 15% on cost of his product. Determine the final retail price per unit of product. Show your solution. 2. What is the pricing strategy used by Mr. Abecee? Briefly explain this pricing strategy. 3. How many units must be sold for Mr. Abecee to Break-even if Fixed Cost isPhp 100,000, Unit Selling Price is Php10.00 and Unit Variable cost is Php.5.00. 4. Differentiate geographical pricing from psychological pricing. 5. If you are to put -up a small start-up business with a starting capital of P50,000 ...a) What business will it be? andb) What will be your best pricing strategy? Justify.
Barbara Flynn's company has compiled the data below on a small set of products. Based on the percentages of dollar volume, perform an ABC analysis on her data by completing the table below. Assume that class A items represent about 70% of the total dollar usage, class B-about 25%, class C-less than 5% (round your responses to the nearest whole number). Item A В C D E Annual Demand 200 50 160 150 300 Unit Cost $200 $150 $160 $150 $300 Annual Dollar Volume Classification $40,000 $7,500
Brissett Corporation makes three products that use the current constraint, which is a particular type of machine. Data concerning those products appear below: GK LQ XK Selling price per unit $ 326.11 $ 543.37 $ 519.00 Variable cost per unit $ 252.05 $ 420.86 $ 397.71 Time on the constraint (minutes) 4.00 8.00 8.00 Required: a. Rank the products in order of their current profitability from the most profitable to the least profitable. In other words, rank the products in the order in which they should be emphasized. b. Assume that sufficient constraint time is available to satisfy demand for all but the least profitable product. Up to how much should the company be willing to pay to acquire more of the constrained resource? (Round your answer to 2 decimal places.) A. GK LG QX B. Maximun Amount
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Given the historical cost of product Dominoe is $37, the selling price of product Dominoe is $40, costs to sell product Dominoe are $2, the replacement cost for product Dominoe is $36, and the normal profit margin is 20% of sales price, what is the amount that should be used to value the inventory under the lower-of-cost-or-market method?

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