1. W&R gaming has COGS equal to 74% of revenues. The planned revenue for April and May...
Question:
1. W&R gaming has COGS equal to 74% of revenues.
The planned revenue for April and May is as follows:
April revenue = $17,000
May revenue = $34,000
Each month's ending desired inventory is 19% of the next month's COGS.
What is W&R's planned COGS for April?
2.W&R gaming has COGS equal to 73% of revenues.
The planned revenue for April and May is as follows:
April revenue = $15,000
May revenue = $31,000
Each month's ending desired inventory is 11% of the next month's COGS.
What is W&R's planned beginning inventory value for April?
3. W&R gaming has COGS equal to 66% of revenues.
The planned revenue for April and May is as follows:
April revenue = $18,000
May revenue = $33,000
Each month's ending desired inventory is 11% of the next month's COGS.
What is W&R's planned ending inventory value for April?
4. W&R gaming has COGS equal to 68% of revenues.
The planned revenue for April and May is as follows:
April revenue = $15,000
May revenue = $34,000
Each month's ending desired inventory is 12% of the next month's COGS.
What is W&R's planned purchases for April?
Expert Answer:
1The COGS for a month can be calculated as COGS Revenue x COGS ratio where COGS ratio is the percentage of COGS to revenue which is given as 74 or 074 The COGS for April can be calculated as COGS Apri... View the full answer
Cost Accounting Foundations and Evolutions
ISBN: 978-1111626822
8th Edition
Authors: Michael R. Kinney, Cecily A. Raiborn
