What is the amount of the inventory loss

Reference no: EM131763346

Question: Toughluck Inc.'s warehouse was completely destroyed by fire. Fortunately, their accounting records were in a separate area and survived unharmed. The company has determined that their inventory at the start of the current year was valued at $300,000, and their purchases to the date of the fire were $450,000. Their sales to the date of the fire were $600,000, and their goods are generally priced to sell at a 25% markup on cost. What is the amount of the inventory loss that the company will claim for insurance purposes?

A : $330,000

B : $300,000

C : $270,000

Reference no: EM131763346

Questions Cloud

Calculate the break even point in dollars : Turner inc makes cell phones that sell for $60, fir the coming year management expects fixed cost to total $121,440 and variable cost to be $48.00 per unit.

What amount would hart recover : The building was covered by a 300,000 fire insurance policy containing an 80% coinsurance clause. What amount would Hart recover

Discussions on securing the network connections : Last week's working group meeting on encryption has carried over to discussions on securing the network connections between the PCS corporate office.

Felt dialectic pull between two opposites : Give an example from your own life where you feel or felt a dialectic pull between two opposites.

What is the amount of the inventory loss : Toughluck Inc.'s warehouse was completely destroyed by fire. Fortunately, their accounting records were in a separate area and survived unharmed.

Detection systems can help deter hackers : Our organization's business manager has read an article about how intrusion detection systems can help deter hackers. He or she wants to spearhead.

Adopting contingency approach to one leadership style : “Adopting a contingency approach to one’s leadership style: From cognitive awareness to actual practice – as easy as it appears?”

Draft a java program to accomplish the following tasks : Draft a Java program to accomplish the following tasks. After you are done, send the original Java code along with screenshots of the result.

Task is to frame a position for a larger piece of work : The research section is designed to analyze and pull together all of the empirical research that has been conducted on your topic.

User Account

All Pages