Business, 06.12.2021 22:50 stefani5519

Blossom Company began operations on January 1, 2020, and uses the FIFO method in costing its raw material inventory. Management is contemplating a change to the LIFO method and is interested in determining what effect such a change will have on net income. Accordingly, the following information has been developed: Final Inventory 2020 2021 FIFO $520000 $ 592000 LIFO 470000 586000 Net Income (computed under the FIFO method) 870000 1250000 The company deems it impracticable to apply the retrospective approach. Based on the above information, a change to the LIFO method in 2021 would result in net income for 2021 of:.
a. $870000.
b. $1244000.
c. $1250000.
d. $1060000.

Answers: 3

Show answers

Other questions on the subject: Business

Business, 22.06.2019 20:30, capybaracaptin2895

Considered alone, which of the following would increase a company's current ratio? a. an increase in net fixed assets. b. an increase in accrued liabilities. c. an increase in notes payable. d. an increase in accounts receivable. e. an increase in accounts payable.

Answers: 3

continue

Business, 22.06.2019 22:00, isabellainksow87vn

Suppose that a paving company produces paved parking spaces (q) using a fixed quantity of land (t) and variable quantities of cement (c) and labor (l). the firm is currently paving 1,000 parking spaces. the firm's cost of cement is $3 comma 600.003,600.00 per acre covered (c) and its cost of labor is $35.0035.00/hour (w). for the quantities of c and l that the firm has chosen, mp subscript upper c baseline equals 60mpc=60 and mp subscript upper l baseline equals 7mpl=7. is this firm minimizing its cost of producing parking spaces?

Answers: 3

continue

Business, 22.06.2019 23:30, acharity196

Sally has a high-paying management position with a fortune 500 company, but she is tired of working for corporate america. so sally has decided to start a business, and she knows she will be successful as an entrepreneur because entrepreneurs typically

Answers: 3

continue

Business, 23.06.2019 06:00, lover23707

Before setting your prices, it's wise to a. subtract your profit margin from your costs. b. research industry standards. c. memorize the formula for cost plus. d. ignore your competitors' prices.

Answers: 1

continue

You know the right answer?

Blossom Company began operations on January 1, 2020, and uses the FIFO method in costing its raw mat...