Windsor Company Reported the Following Summarized Information at the End

question 97

Essay

Windsor Company reported the following summarized information at the end of 2015: The controller of the company is considering a switch from FIFO to average. He has determined that under average, the ending inventory would have been $150,000.
Instructions
a. Restate the above summarized information using average.
b. What effect, if any, would the proposed change have on Windsor's profit and cash flows?
c. If you were an owner of this business, what would your reaction be to this proposed change?

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Definitions:

Pathos

A term referring to an appeal to emotion in rhetoric or persuasive communication.

Contestable

Open to disagreement or debate; not definitively settled and may be challenged.

Communication Research

The study of processes, practices, and effects of communication in various contexts, using a variety of methods.

Communication Research

The study of how people convey and receive messages within interpersonal, group, organizational, cultural, and media contexts.