Given the Following Information,what Would the Gross Margin Be for the December

question 91

Multiple Choice

Given the following information,what would the gross margin be for the December 15 sale under the FIFO method in a perpetual inventory system?

• A)$1,813
• B)$1,845
• C)$1,785
• D)$3,055

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Definitions:

Insurable Interest

A requirement in insurance policies that the policyholder must stand to suffer a financial loss if the insured event occurs, giving them a legitimate interest in insuring the risk.

Risk Exposure

Risk exposure refers to the quantifiable potential for loss that an entity may face as a result of certain actions or decisions.

Damage

Physical harm that impairs the value, usefulness, or normal function of something, often requiring repair or compensation.

Nonconforming Goods

Products that are delivered to a buyer that do not meet the specifications or requirements as stated in the purchase contract.