Crosby Department Store Estimates Inventory by Using the Retail Inventory

question 197

Multiple Choice

Crosby Department Store estimates inventory by using the retail inventory method. The following information was developed: $$\begin{array}{ll} &\text {at cost}&\text {at retail}\\\hline \text {begining inventory }&\$465,000&\$750,000\\\text { goods purchases}&900,000&1,350,000\\\text {net sales }&&1,500,000\end{array}$$ The estimated cost of the ending inventory is

• A) $210,000.
• B) $372,000.
• C) $390,000.
• D) $400,000.

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Definitions:

Demand For Labor

The need for employees by employers to carry out work, which varies with wage levels and economic conditions.

Inputs That Complement

Resources or goods that are used together in production to increase efficiency or output.

Inputs That Substitute

Resources or factors of production that can be used in place of one another in the manufacturing process.

Units Of Input

The quantities of labor, capital, materials, and other resources used in the production of goods or services.