Answer:
a. $2,000
b. $1,400
Explanation:
FIFO
FIFO method assumes that the inventory bought in first, will be the first to the sold to customers.
Ending Inventory = 200 units × $10
= $2,000
LIFO
LIFO methods assumes that the inventory bought in last will be the first to be sold to the customers.
Ending Inventory = 200 units × $7
= $1,400
a. Computer stocks currently provide an expected rate of return of 12%. MBI, a large computer company, will pay a year-end dividend of $3 per share. If the stock is selling at $50 per share, what must be the market's expectation of the growth rate of MBI dividends? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
Answer:
6%
Explanation:
Computer stocks currently provide an expected rate of return of 12%
A larger company MBI will pay a year end dividend of $3
The stock is selling at $50 per share
Therefore the market expectation of the growth rate can be calculated as follows
g= 12/100 - $3/$50
g= 0.12 - 0.06
g= 0.06 × 100
g= 6 %
If a firm is unlevered and has a cost of equity capital 9%, what would the cost of equity be if the firms became levered at a debt-equity ratio of 1.8? The expected cost of debt is 7%. (Assume no taxes
Answer:
12.6
Explanation:
The cost of equity capital is 9%
Debt equity ratio is 1.8
The expected cost of debt is 7%
Therefore the cost of equity can be calculated as follows
= 9 + 1.8(9-7)
=9 + 1.8(2)
=9 + 3.6
= 12.6
Hence the cost of equity is 12.6
Question 16 of 20
The supply of a good available in a market is likely to decrease when:
A companies believe that the product's selling price will go up.
B. new regulations increase the cost of making the product.
оооо
C. the number of workers able to make the product increases.
D. new technology makes producing the product cheaper.
SUBMIT
When there is a decrease in the supply of a good, the cause is that B. new regulations ...
A decrease in supply does not occur when:
Companies are sure of increased prices.There is an increase in the number of workers.The product becomes cheaper as a result of new technology.Thus, a decrease in supply occurs when B. new regulations ...
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Rodney invests $2,400 today, compounded monthly, with an annual interest rate of 6.25%. What is Rodney's investment worth in one year
Answer:
FV= $2,554.12
Explanation:
Giving the following information:
Rodney invests $2,400 today, compounded monthly, with an annual interest rate of 6.25%.
First, we need to calculate the monthly interest rate:
i= 0.0625/12= 0.0052
Now, using the following formula, we can determine the future value:
FV= PV*(1+i)^n
FV= 2,400*(1.0052^12)
FV= $2,554.12
The historical returns for the past three years for Stock B and the stock market portfolio are Stock B: 24 percent, 0 percent, 24 percent; market portfolio: 10 percent, 12 percent, 20 percent. Calculate the beta for Stock B.
Answer:
stock B's beta = 0.125
Explanation:
a stock's beta = covariance / variance
covariance = how the stock performs relative to the portfolio
variance = how the stock performs relative to its mean
using an excel spreadsheet, the covariance between stock B and the market portfolio = 0.0016 (=COVARIANCE.P function)
again using excel, the variance of stock B = 0.0128 (=VAR.P function)
stock B's beta = 0.0016 / 0.0128 = 0.125
1. January 1 Issue 10,000 shares of common stock in exchange for $42,000 in cash. 2. January 5 Purchase land for $24,000. A note payable is signed for the full amount. 3. January 9 Purchase storage container equipment for $9,000 cash. 4. January 12 Hire three employees for $3,000 per month. 5. January 18 Receive cash of $13,000 in rental fees for the current month. 6. January 23 Purchase office supplies for $3,000 on account. 7. January 31 Pay employees $9,000 for the first month's salaries. 3. Prepare a trial balance.
Answer:
Trial Balance as at January 31
Debit Credit
Cash $37,000
Common Stock $42,000
Land $24,000
Note Payable $24,000
Equipment $9,000
Salaries Expense $9,000
Rental Fees $13,000
Office Supplies $3,000
Accounts Payables $3,000
Explanation:
To prepare a Trial Balance, you first need to record the transactions in the Journal entries. After that you post the journals to appropriate ledger accounts. From the ledger accounts extract ending balances which you will post to the Trial Balance.
Record of the transactions will be as :
January 1
Cash $42,000 (debit)
Common Stock $42,000 (credit)
January 5
Land $24,000 (debit)
Note Payable $24,000 (credit)
January 9
Equipment $9,000 (debit)
Cash $9,000 (credit)
January 12
Salaries Expense $9,000 (debit)
Salaries Payable $9,000 (credit)
January 18
Cash $13,000 (debit)
Rental Fees $13,000 (credit)
January 23
Office Supplies $3,000 (debit)
Accounts Payables $3,000 (credit)
January 31
Salaries Payable $9,000 (debit)
Cash $9,000 credit)
Posting to Ledger Accounts and extraction of ending balances - summary
Cash $42,000 - $9,000 + $13,000 - $9,000 = $37,000
Common Stock $42,000
Land $24,000
Note Payable $24,000
Equipment $9,000
Salaries Expense $9,000
Salaries Payable $9,000 - $9,000 = $0
Rental Fees $13,000
Office Supplies $3,000
Accounts Payables $3,000
Assume ABC Corp. pays the dividend of $4.55 this year. For the next 30 years, the firm's dividend will grow by 5.4%, then will grow by 4.7% each year afterwards. The required rate of return for the firm's industry is 10.8%. What is the present value of the firm's stock under the Dividend Discount Model?
Answer:
$86.42
Explanation:
Div₀ = $4.55
using an excel spreadsheet I determined the next 29 dividends:
Div₁ = $4.80
Div₂ = $5.05
Div₃ = $5.33
Div₄ = $5.62
Div₅ = $5.92
Div₆ = $6.24
Div₇ = $6.57
Div₈ = $6.93
Div₉ = $7.30
Div₁₀ = $7.70
Div₁₁ = $8.11
Div₁₂ = $8.55
Div₁₃ = $9.01
Div₁₄ = $9.50
Div₁₅ = $10.01
Div₁₆ = $10.56
Div₁₇ = $11.13
Div₁₈ = $11.73
Div₁₉ = $12.36
Div₂₀ = $13.03
Div₂₁ = $13.73
Div₂₂ = $14.47
Div₂₃ = $15.25
Div₂₄ = $16.08
Div₂₅ = $16.94
Div₂₆ = $17.86
Div₂₇ = $18.82
Div₂₈ = $19.84
Div₂₉ = $20.91
Div₃₀ = $4.55 x (1 + 5.4%)³⁰ = $22.0409
Div₃₁ = $22.0409 x 1.047 = $23.08
first we must determine the terminal value at year 30 = $23.08 / (10.8% - 4.7%) = $378.36
again I used an excel spreadsheet to discount the 30 future dividends using a 10.8% discount rate = $68.97 + $378.36/1.108³⁰ = $86.42
Sunk costs are: a. Larger than variable costs. b. Equivalent to fixed costs. c. Irrelevant for decision-making purposes because, by definition, decisions do not influence these costs. d. Influenced by economies of scale.
Answer:
c. Irrelevant for decision-making purposes because, by definition, decisions do not influence these costs.
Explanation:
Sunk cost can be defined as a cost or an amount of money that has been spent on something in the past and as such cannot be recovered. Thus, because a sunk cost has been incurred by an individual or organization it can't be recovered and as such it is irrelevant in the decision-making process such as investments, projects etc.
Basically, sunk costs are referred to as fixed costs.
Hence, sunk costs are irrelevant for decision-making purposes because, by definition, decisions do not influence these costs.
If an economy is in a recessionary gap, then it
Answer:
i got choo
Explanation:
If the economy is in a recessionary gap, wages fall and the economy soon moves itself toward producing Natural Real GDP (at a lower price level than in the recessionary gap). ... wages rise and the economy soon moves itself toward producing Natural Real GDP (at higher price level than in the inflationary gap).
Raymond Co. has $1.4 million of debt, $3 million of preferred stock, and $1.2 million of common equity. What would be its weight on common equity
Answer:
the Weight of common Equity is 0.21
Explanation:
The computation of the weight on common equity is shown below:
But before that first we have to determine the total firm value
= Debt + Preferred stock + common Equity
= $1.4 million + $3 million + $1.2 million
= $5.6 million
Now the weight on common stock is
Weight of common Equity = Common Equity ÷Total Shareholders Fund
= $1.2 million ÷ $5.6 million
= 0.21
hence, the Weight of common Equity is 0.21
oriole corporation has two products in its ending inventory, each accounted for at the lower of cost or market. a profit margin of 30% on selling price is considered normal for each product. specific data with respect to each product follows:In pricing its ending inventory using the lower-of-cost-or-market, what unit values, rounded to the nearest dollar, should Oriole use for products
Answer:
Product 1 = $20Product 2 = $32.50Explanation:
Using the lower-of-cost-or market means that the market value or the historical cost is used to record the inventory depending on which is lower.
Product 1Market Value = Net realizable value - Profit margin
= (Estimated selling price - Estimated cost to dispose) - ( Estimated selling price * Profit margin)
= (40 - 5) - (40 * 30%)
= 35 - 12
= $23
Historical cost = $20
Lower value is Historical cost so $20 would be used by Oriole
Product 2= (Estimated selling price - Estimated cost to dispose) - ( Estimated selling price * Profit margin)
= (65 - 13) - (65 * 30%)
= 52 - 19.5
= $32.50
Historical Cost = $35
Lower cost is Market value so ending inventory is $32.50
plans to issue $300,000 of 10-year bonds paying a 5% interest rate, with interest payable annually. The discount rate for such securities is 4%. How much can the company expect to receive from the sale of the bonds?
Answer:
$324,333
Explanation:
the market price per bond:
PV of face value = $1,000 / (1 + 4%)¹⁰ = $675.56
PV of coupon payments = $50 x 8.1109 (PV annuity factor, 4%, 10 periods) = $405.55
market price per bond = $1,081.11
total issuance of the bonds = $1,081.11 x 300 = $324,333
the journal entry to record issuance of bonds:
Dr Cash 324,333
Cr Bonds payable 300,000
Cr Premium on bonds payable 24,333
If a good or service is scarce, consumers will usually be?
Answer:
B) willing to pay money to get it.
Multiple-choice options for the question
A) unwilling to buy it.
B) willing to pay money to get it.
C) uninterested in owning it.
D) able to get as much of as they want.
B) willing to pay money to get it.
Explanation:
A good or service is said to be scarce if its demand outweighs the supply. Consequently, not every customer willing to buy the product will find it in the market. Scarcity will lead to a 'scramble' for the products every time buyers locate it. The 'scramble' will make customers who greatly desire the products offer higher prices to the sellers. Scarcity makes prices go up as suppliers take advantage of making higher profits.
Suppose this information is available for PepsiCo, Inc. for 2020, 2021, and 2022. (in millions) 2020 2021 2022 Beginning inventory $1,700 $2,200 $2,500 Ending inventory 2,200 2,500 2,600 Cost of goods sold 14,235 16,920 16,575 Sales revenue 40,100 45,000 44,920 Calculate the inventory turnover for 2020, 2021, and 2022. (Round inventory turnover to 1 decimal place, e.g. 5.1.) 2020 2021 2022 Inventory turnover enter an inventory turnover times enter an inventory turnover times enter an inventory turnover times LINK TO TEXT Calculate the days in inventory for 2020, 2021, and 2022. (Round days in inventory to 1 decimal place, e.g. 5.1.) 2020 2021 2022 Days in inventory enter a number of days days enter a number of days days enter a number of days days LINK TO TEXT Calculate the gross profit rate for 2020, 2021, and 2022. (Round gross profit rate to 1 decimal place, e.g. 5.1%.) 2020 2021 2022 Gross profit rate enter percentages % enter percentages % enter percentages %
Answer:
a. The inventory turnover are as follows:
Inventory turnover for 2020 = 7.3
Inventory turnover for 2021 = 7.2
Inventory turnover for 2022 = 6.5
b. The days in inventory are as follows:
Days in inventory for 2020 = 50.0
Days in inventory for 2021 = 50.7
Days in inventory for 2020 = 56.2
c. The gross profit rates are as follows
Gross profit rate for 2020 = 64.5%
Gross profit rate for 2021 = 62.4%
Gross profit rate for 2022 = 63.1%
Explanation:
Note: The merged data given in the question are first sorted as follows:
(in millions) 2020 2021 2022
Beginning inventory $1,700 $2,200 $2,500
Ending inventory 2,200 2,500 2,600
Cost of goods sold 14,235 16,920 16,575
Sales revenue 40,100 45,000 44,920
The explanation to the answers is now given as follows:
a. Calculate the inventory turnover for 2020, 2021, and 2022. (Round inventory turnover to 1 decimal place, e.g. 5.1.)
Note: See the attached excel file for the calculation of the inventory turnover for 2020, 2021, and 2022.
In the attached excel file, the following formula is used to calculate the inventory turnover for 2020, 2021, and 2022:
Inventory turnover = Cost of goods sold / ((Beginning inventory + Ending inventory) / 2)
Note that under financial ratio analysis; (Beginning inventory + Ending inventory) / 2 = Average inventory
b. Calculate the days in inventory for 2020, 2021, and 2022. (Round days in inventory to 1 decimal place, e.g. 5.1.)
Note: See the attached excel file for the calculation of days in inventory for 2020, 2021, and 2022.
In the attached excel file, the following formula is used to calculate the days in inventory for 2020, 2021, and 2022:
Days in inventory = 365 / Inventory turnover
c. Calculate the gross profit rate for 2020, 2021, and 2022. (Round gross profit rate to 1 decimal place, e.g. 5.1%.).
Note: See the attached excel file for the calculation of gross profit rate for 2020, 2021, and 2022.
In the attached excel file, the following formula is used to calculate the gross profit rate for 2020, 2021, and 2022:
Gross profit rate = (Sales revenue - Cost of goods sold) / Sales revenue
Note that under financial ratio analysis; Sales revenue - Cost of goods sold = Gross profit
A bond with a face value of $10,000 pays interest of 4% per year. This bond will be redeemed at its face value at the end of 10 years. How much should be paid now for this bond when the first interest payment is payable one year from now and a 5% yield is desired? (
Answer:
$9,228.8
Explanation:
The computation is shown below:
Given that
Bond face value = $10,000
Period = 10 years
Coupon rate or interest rate = 4%
Market rate or yield to maturity = 5%
Based on the above information
The Present value of bond is
= Present value of ordinary annuity + Present value of face value of the bond
Also the interest paid is
= 4% of bond face value
= $400
And, the factor of ordinary maturity table at 5% it is 7.722
So,
Present value of Annuity is
= $400 × 7.722
= $3,088.8
And,
Present value of face value of the bond is
= Face value × PV factor
= $10,000 × 0.614 = $6140
So, the present value of bond is
= $3,088.8 + $6,140
= $9,228.8
1. Choose a type of company that would have sales people, and then answer the following questions about it. TIP: Choose a type of company that you would be interested in working for or starting up yourself. a. Describe the product the company sells. (1-3 sentences. 2.0 points) b. Which needs in Maslow's hierarchy does this product appeal to
Answer:
The company is a company that would sell products made of quinua, since this is one of the most nutritionally-rich foods in the world.
Explanation:
Quinua is a cereal, originally cultivated in the South American Andes by the Incas and other Native American tribes of the area. Quinua is characterized by having more protein, and more micronutrients (vitamins and minerals) than other cereals like wheat and corn.
The needs that the product would appeal to are: physiological needs, because quinua is a type of food, and humans need food to stay alive, but also safety needs, because it is a type of food that is particularly healthy, and that people consume not only to satisfy their hunger, but also, to stay healthy or fit.
The company that I would be interested in starting is a clothing company for children.
Maslow's hierarchy of needs simply mean that people are motivated based on love, esteem, physiological, safety, and self-actualization.
Based on the information given, the company that I would be interested in starting is a clothing company for children. This will help me in actualizing my dream of having a product for children.
Therefore, it satisfies the self-actualization needs.
Learn more about Maslow's hierarchy on:
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Compute two cash flow ratios. (Round ratios to 2 decimal places, e.g. 0.62.) Current cash debt coverage ratio 0.67 :1 Cash debt coverage ratio 0.38 :1
Answer:
0.66 : 10.25 : 1Explanation:
1. Current Cash Debt Coverage ratio;
[tex]= \frac{Net Cash from operating activities}{\frac{Opeing current liabilities + Closing current liabilities}{2} } \\[/tex]
Net Cash from operating activities = Net Income + Depreciation - Gain on sale of investments - Increase in Accounts receivable
= 33,840 + 11,331 - 3,731 - (43,440 - 23,040)
= $21,040
Current Cash debt coverage
[tex]= \frac{21,040}{\frac{31,840 + 31,840}{2} } \\[/tex]
= 0.66 : 1
2. Cash Debt Coverage ratio;
[tex]= \frac{Net Cash from operating activities}{\frac{Opeing total liabilities + Closing total liabilities}{2} } \\[/tex]
Opening liabilities = 31,840 + 42,840 = $74,680
Closing Liabilities = Accounts payable + Net notes + Bond
= 31,840 + (42,840 - 16,331) + 36,840
= $95,189
Cash debt coverage
[tex]= \frac{21,040}{\frac{ 74,680 + 95,189}{2} } \\[/tex]
= 0.24772
= 0.25 : 1
net working capital for 2016 is $1,890 and Net Working Capital for 2017 is $3,597. What is the change in Net Working Capital
Answer:
$1,707 Increase
Explanation:
The change in Net Working Capital is $1,707 ($3,597 - $1,890). This is a positive change. A positive change is a cash inflow in the cash flow statement.
A time standard was set as 0.20 hour per unit based on the 100th unit produced. Assume the task has a 70 percent learning curve. Refer to Exhibit 6.4. What would be the expected time of the 200th, 400th, and 800th units
Answer:
200th unit = 0.70028hrs
400th unit = 0.4902hr
800th unit = 0.343hr
Explanation:
Learning rate = 70% = 0.7 (r)
From the learning curve equation
T(n)= T₁(n)^b
b= ln(r)/ln(2)= ln(0.7)/ln(2)= -0.5146
T(100)= T₁(100)^-0.5146
But T(100)=1
1= T₁×(0.0935)
T₁= 1/(0.0935)
T₁= 10.7
For 200th
T(200)= 10.7(200)^-0.5146= 0.70028hr
For 400th
T(400)= 10.7(400)^-0.5146= 0.4902hrs
800th units
T(800)= 10.7(800)^-0.5146= 0.343hrs
On October 1, 2021, Chief Corporation declared and issued a 14% stock dividend. Before this date, Chief had 86,000 shares of $5 par common stock outstanding. The market price of Chief Corporation on the date of declaration was $10 per share. As a result of this dividend, Chief's retained earnings will:
Answer:
Decreased by $120,400
Explanation:
Calculation for the Chief's retained earnings
RETAINED EARNING
Share issued 86,000 shares
Stock dividend 14% $12,040
(14%*86,000)
*Market price of stock $10
=Amount to be transferred from retained earning $120,400
(12,040*10)
Therefore As a result of this dividend, Chief's retained earnings will:Decreased by $120,400
obtains a $85,000, 6%, six-year loan for a new camp bus on January 1, 2020. If the monthly payment is $1,408.70 by how much will the carrying value decrease when the first payment is made on January 31, 2020
Answer:
the carrying value is $983.70
Explanation:
The computation of the carrying value is shown below:
= Monthly payment - interest
= $1,408.70 - ($85,000 × 6% × 1 month ÷ 12 month)
= $1,408.70 - $425
= $983.70
Hence, the carrying value is $983.70
We simply applied the above formula so that the correct value could come
And, the same is to be considered
Suppose the external benefit is $10 per extinguisher. True or False: The government could achieve the efficient outcome by giving out fire extinguishers for free using tax revenue. True
Answer:
false
Explanation:
A good has positive externality if the benefits to third parties not involved in production is greater than the cost. an example of an activity that generates positive externality is research and development. Due to the high cost of R & D, they are usually under-produced. Government can encourage the production of activities that generate positive externality by granting subsidies.
The efficient outcome can be achieved by subsiding the extinguisher for $10.
Denton Company showed the following balances at the end of its first year:
Cash $ 7,000
Prepaid insurance 700
Accounts receivable 3,500
Accounts payable 2,800
Notes payable 4,200
Denton, Capital 1,400
Denton, Drawing 700
Revenues 21,000
Expenses 17,500
What did Denton Company show as total credits on its trial balance?
a. $30,100
b. $29,400
c. $28,700
d. $30,800
Answer:
b. $29,400
Explanation:
The total credit balance in the trial balance is the sum of all credit accounts in the trial balance which are listed as follows:
Accounts payable( it is credited since it is a liability)
Notes payable( it is credited since it is a liability)
Denton, Capital(capital account has a credit balance)
Revenues( revenue also has a credit balance)
Denton Company total credits on its trial balance=2,800+4,200+1,400+21,000
Denton Company total credits on its trial balance=$29,400
In 2020, Swifty Corporation reported net income of $5.6 billion, net sales of $190 billion, and average total assets of $80 billion. What is Swifty Corporation's asset turnover?
Answer:
Asset turnover = 2.4
Explanation:
The formula for asset turnover is denoted by;
Asset turnover = Net sales / Average total assets
Given that;
Net sales = $190 billion
Average total assets = $80 billion
Then,
Asset turnover = $190 billion / $80 billion
Asset turnover = 2.375
Asset turnover = 2.4 approximated.
The portion of women in the workforce has nearly doubled since 1950. As a result, fewer mothers are providing services inside the home. How has this trend affected GDP
Answer:
Current GDP (both total & contributed by women) has increased. However GDP in 1950 was under estimated.
Explanation:
GDP is the total value of goods & services produced by an economy, during a given period of time. It doesn't include value of qualitative family care services, done by women.
So GDP in 1950, not including value of women's family care work would have been an under estimation of total GDP & women's contribution to GDP also.
After 1950, when women shift from house work not accounted in GDP to outside work accounted in GDP, GDP & women's contribution to GDP both rise.
Sheffield Corp. had revenues of $344000, expenses of $184000, and dividends of $45000. When Income Summary is closed to Retained Earnings, the amount of the debit or credit to Retained Earnings is a
Answer: CREDIT of $160,000.
Explanation:
Income summary being closed to the Retained earnings account means that the income for the year is sent to the Retained earnings account.
Inventory is paid from the Retained earnings so will not feature in the amount sent from the Income statement.
Income = Revenues - expenses
= 344,000 - 184,000
= $160,000
As the Retained earnings will increase, this is a CREDIT of $160,000.
You are promised $1,000 every year for the rest of your life. If your required return is 2.5%. What is the value of this perpetuity?
Answer:
$40,000
Explanation:
Present value = payment / interest rate = 1000 / 0.025 = $40,000
A bank makes a 30 year Fully Amortizing FRM for $800,000 at an annual interest rate of 4% compounded monthly, with monthly payments. What is the absolute difference between the balance and the market value of the loan after 36 monthly payments if the interest rate rises to 5%
Answer:
$77,649.16
Explanation:
Loan taken = $800,000
Duration of loan = 30 yrs
Interest rate = 4%
Monthly payment = PMT(RATE, NPER, PV, FV)
Rate(Monthly interest rate) = 0.33%
Nper= 360
PV=-800,000
FV = 0
Monthly payment = PMT(0.3, 03%, 360, -800,000)
Monthly payment = $3,819.32
Calculation of loan in 36 years
Monthly payment = 3,819.32
Rate = 0.33%
Years spent - 3
Yrs remaining = 27 yrs
No of month remaining = 324
Loan balance after 36 payment = Month payment (P/A, I, N)
Loan balance after 36 payment = 3,819.32 * Pv(0.33%, 324, -1,0)
Loan balance after 36 payment = $755,989.80
Market value of loan after 36 payment
Market value of loan after 36 payment = Monthly payment*(P/A, I,N)
= $3,819.32 * (P/A, 5%/12, 324)
= $678,340.64
Hence, Market value of loan after 36 payment is $678,340.64
Difference between loan balance and market value of loan = Loan balance after 36 payment - Market value of loan = $755,989.80 - $678,340.64 = $77,649.16
Calculate the cost of goods available for sale, cost of goods sold, and ending inventory under the FIFO. Assume perpetual inventory system and sold 600 units between January 9 and January 28. (Round your intermediate calculations to 2 decimal places.)
Question Completion:
1. In its first month of operations, Literacy for the Illiterate opened a new bookstore and bought merchandise in the following order: (1) 400 units at $7 on January 1, (2) 600 units at $10 on January 8, and (3) 930 units at $11 on January 29.
Answer:
Literacy for the Illiterate
The cost of goods available for sale = $19,030
The cost of goods sold = $4,800
The cost of ending inventory = $14,230
Explanation:
a) Data and Calculations:
January 1, Purchases 400 units at $7 $2,800
January 8, Purchases 600 units at $10 6,000
January 29, Purchases 930 units at $11 10,230
Cost of goods available for sale (1,930) = $19,030
January 30, Ending inventory 1,330 = $14,230 (930 * $11 + 400 * $10)
Cost of goods sold = 600 $4,800 ($19,030 - $14,230)
Have you ever had a crafting table on a first date?