Question

1. (a) TOLL TILES C0. puillaseu a vulk qually UI dSure musical isu Unents of flat price of $15,000. Included in the purchase were the following instruments: o Three (3) of Yamaha 581 ($1,500 estimated selling price each) o One (1) of Haynes Classic 04 ($6,000 estimated selling price) O Five (5) of Powell 601 ($1,700 estimated selling price each) O Two (2) of Gemeinhardt 33SSB ($3,000 estimated selling price each) Use the relative-sales-value method to determine how much of the cost would be assigned to each instrument acquired. The total estimated sales value for all of the instruments acquired is (3 * $1,500) + (1 x $60) + (5 $1700) + 12 x $3.000) = $4500 + S6000 + $ 500 + $6000 - $25.000

Answer 1

The flat price of all the instrument is $15,000

Instrument	quantity	price	quantity× price	relative sales value method
Yamaha	3	1,500	4,500	(4,500÷25,000)×15,000= 2,700
Haynes classic	1	6,000	6,000	(6,000÷25,000)×15,000= 3,600
Powell	5	1,700	8,500	(8,500÷25,000)×15,000= 5,100
Gemeinhardt	2	3,000	6,000	(6000÷25,000)×15,000= 3,600
Total			25,000

Under relative sales value method the flat price of $15,000 is apportioned in the basis of selling price of each instrument and their respective quantities .