Find the Cost of an Item That Was Sold for $4230.00

question 88

Essay

Find the cost of an item that was sold for $4230.00 in order to realize a margin of 113% based on cost.

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Definitions:

Sarbanes-Oxley Act

A U.S. federal law that aims to protect investors by making corporate disclosures more reliable and accurate.

Compensating Balance

A minimum bank account balance that a borrower is required to maintain as a condition for some forms of loans or line of credit.

Petty Cash Fund

A small amount of cash kept on hand to pay for minor, incidental expenses of a business, recorded as a current asset on the balance sheet.

Cash Short

A situation where the actual cash on hand is less than the recorded amount in the accounting records, often resulting in a discrepancy during reconciliation.