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Question - Sole Ware, a shoe retailer, sells boots in different styles. In early March, the company started selling a new line of boots, Kickers, to customers for $140 per pair. When a customer purchases a pair of Kickers, Sole Ware also gives the customer a 30% discount coupon good on any additional merchandise purchased within the next 30 days. Customers cannot obtain the coupon by any other means. Sole Ware anticipates that approximately 25% of the customers will utilize the coupon and that their average additional purchase will be for merchandise that normally sells for $120. Assuming that Sole Ware uses the residual method to estimate the stand-alone value selling price for the boots sold without the coupon. Prepare the journal entry to record the sale of 600 pairs of boots in April.
What is the broad tax policy behind separating these two categories of income? What is Congress trying to achieve? What problems does it prevent
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f the retailer uses a normal model, then should it order more shoes of sizes 4 and 5 or more shoes of sizes 11 and 12? Can a normal model possibly be the right model for the proportion of shoe sizes of the retailer's female customers?
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