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During 2014, Pretenders Furniture Company purchases a carload of wicker chairs. The manufacturer sells the chairs to Pretenders for a lump sum of $65,000 because it is discontinuing manufacturing operations and wishes to dispose of its entire stock. Three types of chairs are included in the carload. The three types and the estimated selling price for each are listed below.
Type
No. of Chairs
Estimated Selling Price Each
During 2014, Pretenders sells 100 lounge chairs, 120 armchairs, and 110 straight chairs.
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