We appreciate your visit to How is the net delivered cost of purchases calculated A Gross profit on sales minus total operating expenses B Merchandise available for sale minus ending. This page offers clear insights and highlights the essential aspects of the topic. Our goal is to provide a helpful and engaging learning experience. Explore the content and find the answers you need!
Answer :
The net delivered cost of purchases is calculated by the formula: purchases plus freight in minus purchases returns and allowances minus purchases discounts.
When calculating the net delivered cost of purchases, we start with the initial purchases made by the company. To determine the net cost, we add the freight costs associated with the purchases (freight in). However, we need to subtract any returns and allowances granted by the supplier, as well as any discounts received for prompt payment or other reasons. By deducting these returns, allowances, and discounts from the total purchases and freight in, we arrive at the net delivered cost of purchases. This figure represents the final cost incurred by the company for acquiring inventory or goods for sale after considering these adjustments.
To know more about discounts visit:
https://brainly.com/question/29869380
#SPJ11
Thanks for taking the time to read How is the net delivered cost of purchases calculated A Gross profit on sales minus total operating expenses B Merchandise available for sale minus ending. We hope the insights shared have been valuable and enhanced your understanding of the topic. Don�t hesitate to browse our website for more informative and engaging content!
- Why do Businesses Exist Why does Starbucks Exist What Service does Starbucks Provide Really what is their product.
- The pattern of numbers below is an arithmetic sequence tex 14 24 34 44 54 ldots tex Which statement describes the recursive function used to..
- Morgan felt the need to streamline Edison Electric What changes did Morgan make.
Rewritten by : Barada
