Smith-Kline Company maintains inventory records at selling prices as well as at cost. For 2016, the records indicate the following data: ($ in 000s)
Cost Retail
Beginning inventory $40 $80
Purchases 726 947
Freight-in on purchases 27
Purchase returns 1 3
Net markups 5
Net markdowns 9
Net sales 813
Required:
Assuming the price level increased from 1 at January 1 to 1.75 at December 31, 2016, use the dollar-value LIFO retail method to approximate cost of ending inventory and cost of goods sold. (Enter your answers in thousands.
1.Estimated Ending inventory at retail
2.Estimated ending inventory at cost
3.Estimated cost of goods sold

Lynch company manufactures and sells a single product. the following costs were incurred during the company’s first year of operations: variable costs per unit: manufacturing: direct materials $ 12 direct labor $ 6 variable manufacturing overhead $ 1 variable selling and administrative $ 1 fixed costs per year: fixed manufacturing overhead $ 308,000 fixed selling and administrative $ 218,000 during the year, the company produced 28,000 units and sold 15,000 units. the selling price of the company’s product is $56 per unit. required: 1. assume that the company uses absorption costing: a. compute the unit product cost. b. prepare an income statement for the year. 2. assume that the company uses variable costing: a. compute the unit product cost. b. prepare an income statement for the year.

The rybczynski theorem describes: (a) how commodity price changes influence real factor rewards (b) how commodity price changes influence relative factor rewards. (c) how changes in factor endowments cause changes in commodity outputs. (d) how trade leads to factor price equalization.

In 2000, campbell soup company launched an ad campaign that showed prepubescent boys offering soup to prepubescent girls. the girls declined because they were concerned about their calorie intake. the boys explained that “lots of campbell’s soups are low in calories,” which made them ok for the girls to eat. the ads were pulled after parents expressed concern. why were parents worried? i