Carson Distributing,which Began Operating on January 1,appropriately Uses the Installment

question 45

Multiple Choice

Carson Distributing,which began operating on January 1,appropriately uses the installment method of accounting.The following information pertains to Carson's operations for the first year:

The balance in the deferred gross profit account at December 31 should be

• A)$400,000.
• B)$320,000.
• C)$240,000.
• D)$200,000.

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Definitions:

Transportation Method

A mathematical technique used in logistics and operations research to determine the most cost-effective way of distributing goods from several suppliers to several consumers.

Aggregate Planning

Aggregate planning is a marketing activity aimed at determining the optimal levels of production, inventory, and workforce to meet varying demand over a medium-term horizon.

Medium Range

Refers to a period or distance that is neither short nor long, often contextually defined, such as in planning or forecasting.

Mathematical Model

A representation in mathematical terms of a real-world situation, using equations to simulate and study complex phenomena.