Which of the following is the correct calculation of rate of mark-up on selling price? a. (Cost/Markup)x100 b. (Expenses/Cost) ×100 c. (Markup/Expenses) x100 d. (Markup/Selling price)x100

Q: Which of the following is NOT true about a discount rate? It can be expressed as a fraction over the…

A: Discount rate refers to rate at which discount will be given. It is a normally used practice in the…

Q: What does inventories /sales ratio mean?

A: An accounting metric used to measure liquidity, solvency, efficiency etc. of a business entity is…

Q: Percent Markup Based on Percent Markup Based on Selling Price Amount of Item Cost (in $) Selling…

A: For calculation of missing information we need following formulas  (a) Amount of markup = Selling…

Q: ute for the ff: Total sales Cost of sales Consignment profit Value of Inventory on Consignment

A: Consignment Accounts : It is the account which is prepared to know the profit or loss on…

Q: "Market" is defined in the "Lower-of-cost-or-market" rule required to account for FIFO inventory as:…

A: Inventory- Inventory refers to the items which business kept on hand in order to make the money, it…

Q: Cost Grss sold as a Selling price Margin Markup Price profit percentage of selling price 250 100 85…

A: The question is based on the concept of Financial Accounting.

Q: Total goods available for sale is equal to  a. the sum of ending inventory and net purchases. b.…

A: Beginning inventory + Net purchases = Cost of goods sold + Ending inventory Total cost of goods…

Q: Which of the following levels of profitability in a multiple-step income statement represents…

A: Gross margin (gross profit): Gross margin is the amount of revenue earned from goods sold over the…

Q: What does the selling price 117 1/4 mean? How do you interpret this number?

A: Bonds are a form of loan or debt issued by the company, on which regular interest payments needs to…

Q: Cost-to-retail ratio under the cost method is calculated: A. After both markups (net) and markdowns…

A: Both markups and markdowns is used to calculate the ratio.

Q: Calculate the missing information for the purchase.

A: To calculate Total purchase price we have to increase selling price by adding sales tax (if…

Q: What do you understand by rate of markup on cost and rate of markup on selling price, illustrate…

A: Answer: Mark-up is nothing but the difference between a good or service’s selling price and its…

Q: Which of the following variations of the retail inventory method would generally result in the…

A: Rising prices basically means the situation where the prices of inventory keep on rising with each…

Q: assume that markup is based on selling price. calculate cost and selling price. dollar markup s…

A: Cost =Selling price - markup Let selling price be X. Markup on sale = $5.60

Q: Rate of Amount Rate of Markup Selling of Markup on Price Markup on Cost Selling Price $0.00 $330.00…

A: Amount on markup = [Selling price / (1 + rate of markup)] X MARKUP RATE Markup on selling price =…

Q: Which of the following is a measure of profitability? Select one: a. Inventory turnover b. Return on…

A: The ratio analysis helps to analyse the financial statements of the business.

Q: Calculate the missing values and express your answers rounded to two decimal places.     Cost…

A: For A: Selling price = $300 Mark up (MK) on cost = 25%…

Q: Which ratio can provide an indication of the salability of the company's products?

A: Accounting ratios, often known as financial ratios, describe the correlations between the figures on…

Q: Which of the following is the correct calculation of selling price? O a. Cost + Mark-up O b.…

A: Selling price is price at which goods and services are sold to customer. This selling price includes…

Q: Complete the table: Cost                             Markup…

A: MARKUP % = (SELLING PRICE - COST ) / COST X 100

Q: Which of the following is equal to the cost of goods sold? a. net purchases plus the excess of…

A: The question is related to cost of goods sold. The cost of goods sold is calculated with the help of…

Q: Which of the following is the same as 'net realisable value' of inventory?   a. proceeds of sale…

A: The question is multiple choice question  Required  Choose the Correct Option.

Q: Complete the following table by filling in the missing amounts: Mark-up on Cost Price Profit Selling…

A: In the context of the given question, we should consider the table to compute the missing amounts in…

Q: how is the selling price computed

A: Formula: Selling price=Cost100%-Gross profit ratio

Q: 1) If the ending inventory is to be valued at approximately lower-of-cost-or-net realizable value,…

A: Cost to retail ratio may be defined as the division of cost of goods available for sale and retail…

Q: A measure of the overall price level paid for various goods and services by individuals: O a. Gross…

A: Solution:- Gross Domestic Product (GDP) means the sum total of prices of goods and services paid by…

Q: Which inventory cost flow assumption would consistently result in the highest income in a period of…

A: Inventory valuation is done at the end of the accounting period and different inventory valuation…

Q: Which inventory valuation model serves as a middle-of-the-road approach for taxes and income?…

A: When a corporation values its inventory using FIFO, it reports reduced COGS, which boosts its gross…

Q: Find the percent markup based on selling price, if the percent markup based on the cost is 18%.

A: Solution...     Markup on cost = 18%  Markup on sales = ?

Q: if dollar markup is $5.60 and percent markup is 101.82% on cost, what is cost and selling price?

A: Given that: Dollar markup = $5.60 Percent markup on cost = 101.82%

Q: Which U.S. GAAP principle or rule would apply if the net realizable value of acompany’s inventory is…

A: Net realizable value: Net realizable value is the net amount of receivables which a business expects…

Q: Use the information below to answer, What is the total cost of the markdown? Style # QTY Orig Retail…

A: Markdown is the difference between original retail price and sale price. It is the reduction in the…

Q: Consider the following: Code: A = Gross profit to net sales ratio   B = Gross profit to cost of…

A:

Q: What is the measurement value of inventory? Select one: a. Expected Value b. Fair Value c.…

A: Inventory are the goods which the businesses held for the sale.

Q: Compute the receivable turnover ratio Also compute the inventory turnover ratio

A: A quantitative method that provides information about the company including its liquidity,…

Q: 1-The base used in estimating the Allowance for uncollectible is a. Percentage of Net profit…

A: Allowance for uncollectible accounts: Allowance for uncollectible accounts is a contra asset account…

Q: Calculate the trade discount and net price (in $) to the nearest cent. List Price Trade Discount…

A: Lets understand the basics. Trade discount is a discount which is provided to the customer for…

Q: How much is the markdown and it's markdown rates based on original selling price if an item has an…

A: Markdown represents the reduction in the value of the selling price. Whereas, markup represents the…

Q: Which of the following is a solvency ratio?   a. Times interest earned. b. Inventory turnover ratio.…

A: The correct option is (A) Times Interest Earned   Explanation: This ratio is the measure of a…

Q: Cost-to-retail ratio under the cost method is calculated: O A. After markdowns (net) and before…

A: Cost to Retail Ratio Inventory valuation is of the biggest task for every business.  Firm to take…

Q: 7. Consider the following: Code: A= Gross Profit to Net Sales Ratio B= Gross Profit to Cost of Goods…

A: Gross profit ratio can be calculated on the basis of net sales ratio or cost of goods sold ratio.

Q: Compute the gross margin for FIFO method and LIF0 method. FIFO: LIFO: Sales revenue Less: Cost of…

A: Sales revenue has to be calculated by multiplying units sold (785 units) to the retail rate…

Q: Calculate the missing values in the following table. Express the answers rounded to two decimal…

A: Data given:: Cost Amount of Markup Selling Price Rate of Markup on Cost Rate of Markup on Selling…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.