Per unit Consider the Redwing Automotive total cost information summarized in the following table. SBC quote Unit price $25.96 Packing 0.71 Freight 0.91 Landed cost $27.58 PLS quote Per unit Unit price $21.42 Packing 1.21 Inland transportation 0.07 Freight forwarder's fee 0.08 Ocean transportation 1.36 Marine insurance 0.15 U.S. Port handling 0.35 Customs duty 0.92 Customs broker's fee 0.00 U.S transportation 1.87 Warehousing 0.72 Administrative time 0.09 Paperwork 0.00 Landed Cost $28.24 PLS would need to reduce its price-per-unit by $ in order to match SBC landed cost. This translates into a % price decrease.

Per unit Consider the Redwing Automotive total cost information summarized in the following table. SBC quote Unit price $25.96 Packing 0.71 Freight 0.91 Landed cost $27.58 PLS quote Per unit Unit price $21.42 Packing 1.21 Inland transportation 0.07 Freight forwarder's fee 0.08 Ocean transportation 1.36 Marine insurance 0.15 U.S. Port handling 0.35 Customs duty 0.92 Customs broker's fee 0.00 U.S transportation 1.87 Warehousing 0.72 Administrative time 0.09 Paperwork 0.00 Landed Cost $28.24 PLS would need to reduce its price-per-unit by $ in order to match SBC landed cost. This translates into a % price decrease.

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter8: Inventories: Special Valuation Issues

Section: Chapter Questions

Problem 9MC: Estimates of price-level changes for specific inventories are required for which of the following...

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