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​Cooling Systems II Carl Is the Lead Engineer on a Smart HVAC Cooling

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​Cooling systems II
Carl is the lead engineer on a smart HVAC cooling system that works with minimal energy and is voice activated.Given the revolutionary nature of the system,it took many failed tries to create a system that actually worked,a cost of $30,000.Now each unit sells for $6500 and it costs $5000 in raw materials and labor to produce.Carl receives an order for four new units for a customer,but when he takes the order to his manager,the manager is enraged and asks Carl why he wanted to produce something at a loss.What costs would the manager be looking at to come to this conclusion?


Definitions:

Current Assets

Resources anticipated to be turned into cash, disposed of, or used up either within one year or over the length of the business's operational cycle, depending on which period is greater.

Net Sales

Revenue from the sale of goods or services after deducting returns, allowances, and discounts.

Bank Reconciliation

The process of matching and comparing figures from accounting records against those displayed in a bank statement to ensure consistency.

Incorrectly Recorded

Refers to entries or transactions that have been recorded inaccurately in the accounting records, requiring correction.

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