119k views
4 votes
Diltex Farm Supply is located in a small town in the rural west: The cost of December merchandise purchases would be:

A. $133,250
B. $68,250
C. $130,000
D. $143,000

User Avarkx
by
8.3k points

1 Answer

5 votes

Final Answer:

The cost of December merchandise purchases would be D. $143,000.

Step-by-step explanation:

To determine the cost of December merchandise purchases for Diltex Farm Supply, several factors should be considered. This cost typically involves the inventory required for sales during the period. In a small rural town, especially in the agricultural sector, December might demand higher inventory due to various reasons such as seasonal demands, preparing for upcoming agricultural activities, or meeting customer needs for the holiday season.

Given the options, the most likely amount for the December merchandise purchases would be $143,000 (option D). This figure may account for increased demand during December, possibly due to festive or agricultural requirements.

It's essential to consider factors like seasonal variations, customer demand patterns, and the nature of the business when estimating the merchandise purchase costs. Option D, at $143,000, seems more realistic considering the rural setting of Diltex Farm Supply and the potential need to stock up for the month of December to cater to customer demands and seasonal fluctuations in sales.

The correct answer is D.$143,000

User Bachcha Singh
by
8.5k points
Welcome to QAmmunity.org, where you can ask questions and receive answers from other members of our community.