What is the cost to retail ratio

Assignment Help Accounting Basics
Reference no: EM132110488

Question - Arrow Corporation uses the conventional retail inventory method to value its merchandise inventory. The following information is available for the current year:

 

Cost

Retail

Beginning Inventory

$30,000

$50,000

Purchases

$180,000

$250,000

Freight-In

$2,500

----

Net Markups


$8,500

Net Markdowns


$10,000

Employee Discounts


$1,000

Sales


$205,000

What is the cost to retail ratio?

68.88%

68.07%

70.35%

70.83%

Reference no: EM132110488

Questions Cloud

What is the ending inventory at cost : Capital City Corporation uses the conventional retail inventory method to determine its ending inventory at cost. What is the ending inventory at cost
Define how ethical codes impact the counseling relationship : It is important that the approaches used by counselors and the counseling programs implemented in schools and agencies are effective for the clients.
Do you think homeostasis is the same for every individual : How do the duration, potency and subjective effects of certain substances lend themselves to the people/cultures that surround those particular drugs?
Improve worker productivity : In this chapter you learned about the importance of employee training when seeking to improve worker productivity.
What is the cost to retail ratio : Arrow Corporation uses the conventional retail inventory method to value its merchandise inventory. What is the cost to retail ratio
Compare contracting collaboration and coordination : In the context of network management, compare contracting collaboration and coordination.
Is there a solution presented in the article : A mitigation strategy for the ethical issue. Mitigation here refers to solution. Is there a solution presented in the article? What is it?
Corporate benefits of effective purchasing procedures : How would you explain the corporate benefits of effective purchasing procedures?
Determining the tax consequences of these events : Juan Estefan formed Beta Corporation on January 4th of Year 1, Juan asks your firm to help in determining the tax consequences of these events

Reviews

Write a Review

Accounting Basics Questions & Answers

  Potential costs due to the discovery of a possible defect

potential costs due to the discovery of a possible defect related to one of its products. these costs are probable and

  Prepare a statement of cash flows using the indirect method

the comparative balance sheets for hinckley corporation show the following information december 31 2012 2011 cash

  Multiple-step income statement

On a multiple-step income statement, gain or losses on sale of equipment would be shown:

  Prepare schedule to compute the ending inventory

A physical inventory on March 31, 2017, shows 1,856 units on hand. Prepare schedule to compute the ending inventory at March 31, 2017

  Pair each item from list a with the item from list b

Listed below are several terms and phrases associated with accounting for income taxes. Pair each item from List A with the item from List B (by letter) that is most appropriately associated with it.

  Violation of generally accpted accounting principles

True or False?? A certain contingent liability was evaluated at year end; the company felt it was probable that it would become an actual liability, and the amount could be reasonably estimated.

  During its fiscal year morey corporation had outstanding

during its fiscal year morey corporation had outstanding 600000 shares of 6.50 preferred stock and 2000000 shares of

  Historical cost 25000 replacement cost 20000 net

the following information pertains to inventory held by a company at december 31 2011.historical cost 25000

  What is the increase or decrease in total operating income

how much will the companys operating income increase or decrease. Enter an increase as a positive number and a decrease as a negative number

  Calculate r and d incs eva for the current year

Calculate R&D Inc.'s EVA for the current year after capitalizing the current year and previous years' R&D and amortizing the capitalized R&D balance.

  Discuss the idea of tone at the top

Discuss how an auditor may go about evaluating the effectiveness of the internal controls of a company.

  What point should the revenue from the gift cards

At what point should the revenue from the gift cards be recognized and should the revenue be recognized at the time the card is sold, or should it be recorded when the card is redeemed?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd