Ask Question
BusinessBusiness
24 August, 03:27

The business firm of Tinker, Evers and Chance had a level of inventory of $60 million on January 1, 1908, and ended up the year with an inventory of $70 million on December 31, 1908. The company's expenditures on new plant and equipment for the year was $120 million, while its depreciation on the plant and equipment was $90 million. How much was inventory investment for the year

+4
Answers (1)
  1. 24 August, 03:35
    0
    Tinker, Evers and Chance inventory investment 10 millions

    Explanation:

    Inventory investment:

    Will be the diference in amount betwene the ending and beginning invnetory. It assumes that a company will use the revenue from sale to at least maintan ther inventory.

    When the company invest on inventory, it meas it increase their stock of goods.

    A company will disinvest if the ending is lower than beginning, because the sales proceeds were not used to purchase inventory.

    Ending inventory - beginning inventory = inventory investment

    70 - 60 = 10
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “The business firm of Tinker, Evers and Chance had a level of inventory of $60 million on January 1, 1908, and ended up the year with an ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers
You Might be Interested in
Steel City Company (SCC) paid $120,000 to purchase land that it planned to use as a future building site. A short time later the Company was approached with an opportunity to purchase a better property. The new property cost $125,000.
Answers (1)
Which of the following is NOT an example of a conflict of interest? Group of answer choices a. Advising two clients at the same time who are competing to acquire the same company when the advice might be relevant to the parties' competitive
Answers (1)
An organization that does not pay income tax on its profits but passes them through to its owners who pay the tax at their individual rates is called a a. tax-free business venture. b. professional corporation. c. business corporation. d.
Answers (1)
SMI will need to purchase 30,000 sheets of this product on an annual basis. The steel producer has a minimum order quantity of 1,000 sheets and offers a sliding price scale based on the quantity in each order, as follows.
Answers (1)
Skysong Corporation had income from operations of $6,503,700. In addition, it suffered an unusual and infrequent pretax loss of $789,900 from a volcano eruption, interest revenue of $18,630, and a write-down on buildings of $56,090.
Answers (1)
New Questions in Business
At 4 percent inflation, how much time will it take for prices to double? A. six years B. nine years C. twelve years D. eighteen years
Answers (1)
A friend comes up to you and offers you a free ticket to a professional baseball game that night. You decide to attend the game. The game takes five hours and costs you $15 for transportation.
Answers (2)
Cash flows from operating activities for both the indirect and direct methods are presented for Electronic Transformations.
Answers (1)
A subtle form of racial discrimination in housing is "racial steering." racial steering occurs when real estate agents show prospective buyers homes only in neighborhoods already dominated by that family's race.
Answers (1)
Candy, Inc. signed an agreement with Sweet Plantation. Under the contract, Candy, Inc. agreed to purchase all the sugar cane Sweet Plantation grew during the coming season for $0.16 per pound. This contract will be unenforceable due to its vagueness.
Answers (1)
Home » Business » The business firm of Tinker, Evers and Chance had a level of inventory of $60 million on January 1, 1908, and ended up the year with an inventory of $70 million on December 31, 1908.
Sign Up Forgot Password?