Sampson Seadoos Manufactures State-Of-The-Art Seadoos

question 7

Essay

Sampson Seadoos manufactures state-of-the-art seadoos.In 2015,the company's accountant recorded the following costs into the inventory account:

The company had no work in process at the end of both 2014 and 2015.Finished goods at the end of 2014 amounted to 8,000 seadoos at $900/seadoo.Production was 13,453 seadoos and 4,000 seadoos remained in inventory at December 31,2015.The company uses a periodic inventory system and the FIFO cost flow assumption.
Required:
a.Of the $14,080,000,how much should have been capitalized into inventories?
b.Compute the ending value of inventory and the cost of goods sold for 2015.
c.If the error in inventory costing had not been corrected as per part (a),by how much would inventory be overstated at the end of 2015?
d.Record the journal entry to correct the error in inventory costing.
e.If the company uses the weighted-average cost method,how much would be the ending value of inventory and cost of goods sold for 2015?

Identify the types of hazards posed by volcanic eruptions to human-made structures.

Understand the implications of volcanic eruptions beneath ice sheets.

Recognize different volcanic materials and their formation processes.

Analyze the hazards associated with basaltic lava flows and eruptions.

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Definitions:

Increase

A situation where there is a growth or rise in figures, amounts, or indicators in an economic context.

Demand Curve

A graphical representation that shows the relationship between the price of a good and the quantity demanded by consumers.

Demand

The quantity of a good or service that consumers are willing and able to purchase at various prices during a given period.

Decrease

A reduction in size, quantity, or degree of something.