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Question - The following data relate to alpha company:
2018
2017
Sales
500,000
400,000
Cost of goods sold
240,000
200,000
Gross profit
260,000
Operating expenses
160,000
120,000
Profit
100,000
80,000
Required:
A. Compute the amount and percentage of change for each item.
B. Analyze and comment on the result of your computations.
The most important accounting problem in dealing with merchandise inventory is the application of which of the following conventions or rules?
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budgeted costs are adjusted in proportion to the difference between budgeted costs and actual costs
At the time of acquisition, the residual value of the frame was estimated to be $30,000 and its useful life to be 20 years
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Jake is saving for his college education. He decides to deposit $18,000 at the end of each year for a 7 year period earning an annual interest rate of 9%.
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