The Following Information Was Taken from the Inventory Records of Penelope

question 78

Multiple Choice

The following information was taken from the inventory records of Penelope Ltd.:

What would be the gross margin,assuming that the weighted-average method is used in a periodic inventory system?

• A)$310
• B)$875
• C)$935
• D)$1,810

---

Definitions:

Consumption

The process of utilizing products and services to fulfill necessities and desires.

Budget Equation

A financial formula that equates an individual's or entity's income to their total expenses.

Leisure

Free time spent away from business, work, and domestic chores, often dedicated to relaxation, hobbies, or enjoyment.

Nonlabor Income

Refers to earnings that do not come from employment or work performed but from other sources such as investments, pensions, or inheritance.