How much profit did GCC make

Assignment Help Accounting Basics
Reference no: EM132591006

Question - Gretta Cat Co. (GCC) has assets at January 1, 20X4, which consist of $8,000 in inventory. It did not have any liabilities at that date. During the year ended December 31, 20X4, GCC sold the inventory for $10,000 cash and distributed $1,000 to the owners by way of dividends. GCC replaced the inventory on December 31, 20X4, at a cost of $8,300. It did not have any other transactions during the year. The inflation rate during 20X4 was 5%. How much profit did GCC make according to the physical (productive capacity) concept of capital maintenance?

Reference no: EM132591006

Questions Cloud

Control security without monitoring employee actions : Suggest an alternative approach for an organization to control security without monitoring employee actions.
Explain why water has a high boiling point : Explain why water has a high boiling point. B) Explain why polar substances like methanol, CH3OH, dissolve in water
Explain the role of capital investment analysis for company : Explain the role of capital investment analysis for these companies.At the individual product level-the development of a successful new product requires
Essential for business continuity and concurrency control : Describe how these functions would be essential for business continuity and concurrency control.
How much profit did GCC make : The inflation rate during 20X4 was 5%. How much profit did GCC make according to the physical (productive capacity) concept of capital maintenance
What is the concentration of that substance : What is the concentration of that substance in units of parts per million? Show the steps involved in reaching your answer.
What are the major categories of ratios : Find How do you standardize statements of financial position and statements of comprehensive income and why is standardization useful?
Characterizing data types and information visualization : Despite increases in computing power and network bandwidth, many user interfaces are still largely text oriented, with a few icons and illustrations.
Identify the concentrations : 1) Which of the following chemical reactions does not represent an oxidation/reduction?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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