furnace purchase Frank

timer Asked: Sep 9th, 2015

Question description

  1. Frank Dobbins (a homeowner) orders a furnace from ALPINE on Order #1.  The customer pays $1,000 - this is the retail price of the furnace.  The customer does not pay tax because they are out of state.  The product is advertised with "free shipping."  ALPINE has 3 of these furnaces in inventory with an average cost of $500 each.  A freight carrier (Carrier A) picks up the furnace from ALPINE's warehouse and signs for the shipment confirming that the product is in good condition. The freight carrier delivers the furnace to the customer.   The freight carrier charges $100 to deliver the furnace to the customer.  

Question 1A)  What expenses has Alpine accrued on this order (direct costs only)?  

Question 1B)  What is the gross profit? 

Studypool has helped 1,244,100 students
flag Report DMCA
Similar Questions
Hot Questions
Related Tags

Brown University

1271 Tutors

California Institute of Technology

2131 Tutors

Carnegie Mellon University

982 Tutors

Columbia University

1256 Tutors

Dartmouth University

2113 Tutors

Emory University

2279 Tutors

Harvard University

599 Tutors

Massachusetts Institute of Technology

2319 Tutors

New York University

1645 Tutors

Notre Dam University

1911 Tutors

Oklahoma University

2122 Tutors

Pennsylvania State University

932 Tutors

Princeton University

1211 Tutors

Stanford University

983 Tutors

University of California

1282 Tutors

Oxford University

123 Tutors

Yale University

2325 Tutors