Assume that three identical units of merchandise are purchased during October, as follows: \[\begin{array} { | l | c | c | c | c | } \hline & & & \text { Units } & \text { Cost } \\ \hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \\ \hline & 12 & \text { Purchase } & 1 & 13 \\ \hline & 28 & \text { Purchase } & \underline { 1 } & \underline { 15 } \\ \hline \text { Total } & & & \underline { 3 } & \underline { \$ 33 } \\ \hline \end{array}\] Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the FIFO method.

The answer of Assume that three identical units of merchandise...

The following lots of Commodity Z were available for sale during the year. Use this information to answer the questions that follow. \[\begin{array} { l l } \text { Beginning inventory } & 10 \text { units at } \$ 30 \\ \text { First purchase } & 25 \text { units at } \$ 32 \\ \text { Second purchase } & 30 \text { units at } \$ 34 \\ \text { Third purchase } & 10 \text { units at } \$ 35 \end{array}\] -The firm uses the periodic system, and there are 20 units of the commodity on hand at the end of the year. What is the ending inventory balance at the end of the year according to the FIFO method?

A) $655 B) $620 C) $690 D) $659 A) $655 B) $620 C) $690 D) $659 C

If a company values inventory at the lower of cost or market, which of the following is the value of inventory on the balance sheet? Apply the lower-of-cost-or-market method to inventory as a whole. $\begin{array}{|l|c|c|c|} \hline {\text { Item }} & \text { Inventory Quantity } & \text { Unit Cost Price } & \text { Unit Market Price } \\ \hline \text { Froduct C } & 420 & \$ 6 & \$ 5 \\ \hline \text { Froduct D } & 370 & 12 & 14 \\ \hline \end{array}$

A) $6,960 B) $7,700 C) $6,540 D) $7,280 A) $6,960 B) $7,700 C) $6,540 D) $7,280

Assume that three identical units of merchandise were purchased during October, as follows: $\begin{array}{|l|r|l|c|r|} \hline & & & \text { Units } &{\text { Cost }} \\ \hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \\ \hline & 12 & \text { Purchase } & 1 & 13 \\ \hline & 28 & \text { Purchase } & 1 & 15 \\ \hline \text { Total } & & & \underline{3} & \$ 33 \\ \hline \end{array}$ Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the average cost method.

The answer of Assume that three identical units of merchandise...

On the basis of the following data, what is the value of the total inventory at the lower of cost or market. Apply lower of cost or market to each inventory item. \[\begin{array} { | l | c | c | c | } \hline \text { Item } & \text { Inventory Quantity } & \text { Unit Cost Price } & \text { Unit Market Price } \\ \hline \text {product C } & 300 & \$ 6 & \$ 5 \\ \hline \text { product D } & 420 & 12 & 14 \\ \hline \end{array}\]

A) $7,380 B) $6,840 C) $6,540 D) $6,300 A) $7,380 B) $6,840 C) $6,540 D) $6,300

The following lots of Commodity Z were available for sale during the year. Use this information to answer the questions that follow. \[\begin{array} { l l } \text { Beginning inventory } & 10 \text { units at } \$ 30 \\ \text { First purchase } & 25 \text { units at } \$ 32 \\ \text { Second purchase } & 30 \text { units at } \$ 34 \\ \text { Third purchase } & 10 \text { units at } \$ 35 \end{array}\] -The firm uses the periodic system, and there are 20 units of the commodity on hand at the end of the year. What is the ending inventory balance at the end of the year according to the LIFO method?

A) $655 B) $620 C) $690 D) $659 A) $655 B) $620 C) $690 D) $659

The following data were taken from the annual reports of Big Bang Inc., a manufacturer of fireworks, and Orange Inc., a manufacturer of computers. $\begin{array}{|l|r|r|} \hline & \text { Big Bang, Inc. } &{\text { Orange, Inc. }} \\ \hline \text { Cost of goods sold } & \$ 830,000 & \$ 11,540,000 \\ \hline \text { Inventory, end of year } & 190,000 & 320,000 \\ \hline \text { Inventory, beginning of year } & 240,000 & 290,000 \\ \hline \end{array}$ What is the inventory turnover for Big Bang and Orange.

A) Big Bang, Inc.: 94.55 Orange, Inc.: 9.65 B) Big Bang, Inc.: 3.86 Orange, Inc.: 9.65 C) Big Bang, Inc.: 3.86 Orange, Inc.: 37.84 D) Big Bang, Inc.: 94.55 Orange, Inc.: 37.84 A) Big Bang, Inc.: 94.55 Orange, Inc.: 9.65 B) Big Bang, Inc.: 3.86 Orange, Inc.: 9.65 C) Big Bang, Inc.: 3.86 Orange, Inc.: 37.84 D) Big Bang, Inc.: 94.55 Orange, Inc.: 37.84

Exam 6: Inventories

Assume that three identical units of merchandise are purchased during October, as follows: Units Cost October 5 Purchase 1 \ 5 12 Purchase 1 13 28 Purchase Total Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the FIFO method.

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Question 1

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The following lots of Commodity Z were available for sale during the year. Use this information to answer the questions that follow. Beginning inventory 10 units at \ 30 First purchase 25 units at \ 32 Second purchase 30 units at \ 34 Third purchase 10 units at \ 35 -The firm uses the periodic system, and there are 20 units of the commodity on hand at the end of the year. What is the ending inventory balance at the end of the year according to the FIFO method?

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Question 2

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C

On the basis of the following data, determine the value of the inventory at the lower of cost or market. Apply lower of cost or market to each inventory item. Show your work.

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Question 3

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For the year ended December 31, Depot Max's cost of goods sold was $56,900. Inventory at the beginning of the year was $6,540. Ending inventory was $7,250. Depot Max's number of days' sales in inventory is closest to

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Question 4

If a company values inventory at the lower of cost or market, which of the following is the value of inventory on the balance sheet? Apply the lower-of-cost-or-market method to inventory as a whole. Item Inventory Quantity Unit Cost Price Unit Market Price Froduct C 420 \ 6 \ 5 Froduct D 370 12 14

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Question 5

Assume that three identical units of merchandise were purchased during October, as follows: Units Cost October 5 Purchase 1 \ 5 12 Purchase 1 13 28 Purchase 1 15 Total \ 33 Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the average cost method.

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Question 6

During the taking of its physical inventory on December 31, 2014, Barry's Bike Shop incorrectly counted its inventory as $350,000 instead of the correct amount of $280,000. What is the effect on the balance sheet and income statement?

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Question 7

Beginning inventory, purchases, and sales data for widgets are as follows: Complete the inventory cost card assuming the business maintains a perpetual inventory system and determine the cost of goods sold and ending inventory using LIFO.

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Question 8

Use of the retail inventory method requires taking a physical count of inventory.

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Question 9

On the basis of the following data, what is the value of the total inventory at the lower of cost or market. Apply lower of cost or market to each inventory item. Item Inventory Quantity Unit Cost Price Unit Market Price product C 300 \ 6 \ 5 product D 420 12 14

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Question 10

The following lots of Commodity Z were available for sale during the year. Use this information to answer the questions that follow. Beginning inventory 10 units at \ 30 First purchase 25 units at \ 32 Second purchase 30 units at \ 34 Third purchase 10 units at \ 35 -The firm uses the periodic system, and there are 20 units of the commodity on hand at the end of the year. What is the ending inventory balance at the end of the year according to the LIFO method?

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Question 11

Cost flow is in the reverse order in which costs were incurred when using

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Question 12

A purchase order establishes an initial record of the receipt of the inventory.

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Question 13

Use the information below to answer the following questions. The Boxwood Company sells blankets for $60 each. The following was taken from the inventory records during May. The company had no beginning inventory on May 1. -Assuming that the company uses the perpetual inventory system, determine the May 31 inventory balance using the FIFO inventory cost method.

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Question 14

Unsold consigned merchandise should be included in the consignee's inventory.

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Question 15

On the basis of the following data, determine the estimated cost of the inventory as of March 31 using the retail method.

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Question 16

If a manufacturer ships merchandise to a retailer on consignment, the unsold merchandise should be included in the inventory of the

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Question 17

The following data were taken from the annual reports of Big Bang Inc., a manufacturer of fireworks, and Orange Inc., a manufacturer of computers. Big Bang, Inc. Orange, Inc. Cost of goods sold \ 830,000 \ 11,540,000 Inventory, end of year 190,000 320,000 Inventory, beginning of year 240,000 290,000 What is the inventory turnover for Big Bang and Orange.

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Question 18

The units of an item available for sale during the year were as follows: There are 48 units of the item in the physical inventory at December 31. The periodic inventory system is used. Determine the inventory cost by (a) the first-in, first-out method, (b) the last-in, first-out method, and (c) the average cost method. Show your work.

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Question 19

A consignor who has goods out on consignment with an agent should include the goods in ending inventory even though they are not in the possession of the consignor.

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Question 20

Assume that three identical units of merchandise are purchased during October, as follows: Units Cost October 5 Purchase 1 \ 5 12 Purchase 1 13 28 Purchase Total Assume one unit is sold on October 31 for $28. Determine cost of goods sold, gross profit, and ending inventory under the FIFO method.

On the basis of the following data, determine the value of the inventory at the lower of cost or market. Apply lower of cost or market to each inventory item. Show your work.

For the year ended December 31, Depot Max's cost of goods sold was $56,900. Inventory at the beginning of the year was $6,540. Ending inventory was $7,250. Depot Max's number of days' sales in inventory is closest to

If a company values inventory at the lower of cost or market, which of the following is the value of inventory on the balance sheet? Apply the lower-of-cost-or-market method to inventory as a whole. Item Inventory Quantity Unit Cost Price Unit Market Price Froduct C 420 \ 6 \ 5 Froduct D 370 12 14

During the taking of its physical inventory on December 31, 2014, Barry's Bike Shop incorrectly counted its inventory as $350,000 instead of the correct amount of $280,000. What is the effect on the balance sheet and income statement?

Beginning inventory, purchases, and sales data for widgets are as follows: Complete the inventory cost card assuming the business maintains a perpetual inventory system and determine the cost of goods sold and ending inventory using LIFO.

Use of the retail inventory method requires taking a physical count of inventory.

On the basis of the following data, what is the value of the total inventory at the lower of cost or market. Apply lower of cost or market to each inventory item. Item Inventory Quantity Unit Cost Price Unit Market Price product C 300 \ 6 \ 5 product D 420 12 14

Cost flow is in the reverse order in which costs were incurred when using

A purchase order establishes an initial record of the receipt of the inventory.

Unsold consigned merchandise should be included in the consignee's inventory.

On the basis of the following data, determine the estimated cost of the inventory as of March 31 using the retail method.

If a manufacturer ships merchandise to a retailer on consignment, the unsold merchandise should be included in the inventory of the

A consignor who has goods out on consignment with an agent should include the goods in ending inventory even though they are not in the possession of the consignor.

Accounting and Business

Double-Entry Accounting

Adjustments: Accruals and Deferrals

The Accounting Cycle

Accounting for Retail Businesses

Internal Control and Cash

Receivables

Long-Term Assets: Fixed and Intangible

Liabilities: Current, Installment Notes, and Contingencies

Liabilities: Bonds Payable

Corporations: Organization, Stock Transactions, and Dividends

Statement of Cash Flows

Financial Statement Analysis

Investments

Filters

Exam 6: Inventories

On the basis of the following data, determine the value of the inventory at the lower of cost or market. Apply lower of cost or market to each inventory item. Show your work.

For the year ended December 31, Depot Max's cost of goods sold was $56,900. Inventory at the beginning of the year was $6,540. Ending inventory was $7,250. Depot Max's number of days' sales in inventory is closest to

If a company values inventory at the lower of cost or market, which of the following is the value of inventory on the balance sheet? Apply the lower-of-cost-or-market method to inventory as a whole. Item Inventory Quantity Unit Cost Price Unit Market Price Froduct C 420 \ 6 \ 5 Froduct D 370 12 14

During the taking of its physical inventory on December 31, 2014, Barry's Bike Shop incorrectly counted its inventory as $350,000 instead of the correct amount of $280,000. What is the effect on the balance sheet and income statement?

Beginning inventory, purchases, and sales data for widgets are as follows: ​ Complete the inventory cost card assuming the business maintains a perpetual inventory system and determine the cost of goods sold and ending inventory using LIFO.

Use of the retail inventory method requires taking a physical count of inventory.

On the basis of the following data, what is the value of the total inventory at the lower of cost or market. Apply lower of cost or market to each inventory item. Item Inventory Quantity Unit Cost Price Unit Market Price product C 300 \ 6 \ 5 product D 420 12 14

Cost flow is in the reverse order in which costs were incurred when using

A purchase order establishes an initial record of the receipt of the inventory.

Unsold consigned merchandise should be included in the consignee's inventory.

On the basis of the following data, determine the estimated cost of the inventory as of March 31 using the retail method.

If a manufacturer ships merchandise to a retailer on consignment, the unsold merchandise should be included in the inventory of the

A consignor who has goods out on consignment with an agent should include the goods in ending inventory even though they are not in the possession of the consignor.

Accounting and Business

Double-Entry Accounting

Adjustments: Accruals and Deferrals

The Accounting Cycle

Accounting for Retail Businesses

Internal Control and Cash

Receivables

Long-Term Assets: Fixed and Intangible

Liabilities: Current, Installment Notes, and Contingencies

Liabilities: Bonds Payable

Corporations: Organization, Stock Transactions, and Dividends

Statement of Cash Flows

Financial Statement Analysis

Investments

Filters

Beginning inventory, purchases, and sales data for widgets are as follows: Complete the inventory cost card assuming the business maintains a perpetual inventory system and determine the cost of goods sold and ending inventory using LIFO.