Question: Fix -It Hardware is a manufacturing enterprise. At the end of production cycle 6, the following information were available: Cost of production $ 1400 000

Fix -It Hardware is a manufacturing enterprise. At the end of production cycle 6, the following information were available:

Cost of production $ 1400 000

Mark- up on finished goods transferred is 25% = $350 000

Value of finished goods still in the warehouse at the of the accounting year $ 200 000

What is the value of the unrealised profit tied up in the closing inventory?

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