Budson Company Needs an Estimate of Its Ending Inventory Balance

question 39

Multiple Choice

Budson Company needs an estimate of its ending inventory balance.The following information is available:

Given this information,when using the gross margin estimation method,ending inventory is approximately

• A)$1,000.
• B)$9,000.
• C)$19,000.
• D)$11,650.

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Definitions:

Federal Trade Commission

A U.S. federal agency responsible for protecting consumers and ensuring a strong competitive market by enforcing antitrust and consumer protection laws.

United States Steel

An incorporated steel producer known for its significant impact on the industrial growth of the United States, symbolizing industrialization and economic progress.

Antitrust Case

Legal cases aimed at regulating or dismantling monopolistic business practices to ensure fair competition in the market.

Rule of Reason

A legal doctrine used in antitrust law to determine if a business practice is anti-competitive based on its context and impact on competition.