Mogul company ships merchandise to ski outfit in a consignment arrangement. the arrangement specifies that ski outfit will attempt to sell the merchandise, and in return, mogul will pay to ski outfit a 15% sales commission on any merchandise sold. during the year, mogul ships inventory with a cost of $85,000 to ski outfit. by the end of the year, $64,000 of the merchandise has been sold to customers for a total of $90,200. what amount of inventory will mogul report at year end?
a. $0.
b. $5,200.
c. $12,750.
d. $21,000.

S. you are changing planes in london for a flight to paris where you will connect with your flight to capetown. you are picking up reading material for the flight and are looking at the prices listed on the economist magazine which conveniently lists prices in several different global currencies. you note that the price in pounds is 2.40 pounds and the price in euros is 2 euros. the exchange rate for the dollar (your credit card was issued in the usa) is $1.59/pound and s1.3837/euro. should you buy reading materials now or wait until you're in paris?