Use the Following Information for Questions
the Following Data

question 55

Multiple Choice

Use the following information for questions
The following data concerning the retail inventory method are taken from the financial records of Stone Company. $\begin{array}{lcc}&\text { Cost } & \text { Retail }\\\hline\text { Beginning inventory } & \$ 49,000 & \$ 70,000 \\\text { Purchases } & 224,000 & 320,000 \\\text { Freight-in } & 6,000 & - \\\text { Net markups } & - & 20,000 \\\text { Net markdowns } & - & 14,000 \\\text { Sales } & - & 336,000\end{array}$
-If the foregoing figures are verified and a count of the ending inventory reveals that merchandise actually on hand amounts to $54,000 at retail, the business has

• A)realized a windfall gain.
• B)sustained a loss.
• C)no gain or loss as there is close coincidence of the inventories.
• D)none of these.

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Definitions:

Determinant

An element or factor that decisively affects the nature or outcome of something, often used in the context of identifying causal factors in various fields of study.

Trust and Cooperation

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Group Decision

A decision made collectively by two or more individuals in a group setting, usually involving discussion, negotiation, or consensus.

Solution Generation

The process of identifying and creating possible answers or methods to solve a problem or address a specific need.