Exam 5: Inventory

A company has $4,500 in net sales,$3,200 in gross profit,$1,300 in ending inventory,and $1,800 in beginning inventory.The company's cost of goods sold is:

Lionworks Enterprises had the following inventory data: Assuming average cost,what is the ending inventory after the July 14 sale?

A piece of artwork would probably be inventoried using the specific-identification method.

Which account would always be used for an inventory adjustment?

A manufacturer uses ________ inventory to produce the goods it sells.

Goods available for sale are $350,000;beginning inventory is $24,000;ending inventory is $32,000;and cost of goods sold is $275,000.The inventory turnover is:

Under the FIFO method,the physical flow of goods through the business will:

Under the average cost method,the flow of costs through the accounting records will:

Cost of goods sold is shown on the:

Footnotes are used with what concept or principle of accounting?

When using the FIFO inventory method,the ending inventory has the newer costs.

Under the specific-identification method,the flow of costs through the accounting records will:

Goods such as milk,bread,and cheese need to be sold quickly due to potential spoilage.Therefore,they would probably be costed using the:

In order to pay the least income tax possible in periods of decreasing inventory costs,the company should use which of the following inventory costing methods?

The choice of inventory costing method does not have an effect on net income.

Under the FIFO method,the flow of costs through the accounting records will:

Ending inventory can be estimated by subtracting the estimated cost of goods available for sale from the Cost of Goods Sold.

GAAP allows two different kinds of inventory costing methods.

________ produces the highest cost of goods sold and the lowest gross profit when prices are increasing.

The average cost method generates gross profit,net income,and income tax amounts that fall between the extremes of FIFO and LIFO.