Assume that three identical units of merchandise were purchased during October, as follows: \[\begin{array} { | l | c | l | c | c | } \hline & & & \text { Units } & \text { Cost } \\ \hline \text { October } & 5 & \text { Purchase } & 1 & \$ 5 \\ \hline & 12 & \text { Purchase } & 1 & 13 \\ \hline & 28 & \text { Purchase } & \underline { 1 } & \underline { 15 } \\ \hline \text { Total } & & & 3 & \$ 33 \\ \hline \end{array}\] -One unit is sold on October 31 for $28. Using the table provided, determine gross profit under the FIFO method.

A) $28 B) $13 C) $15 A) $28 B) $13 C) $15

Exam 6: Inventories

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 Total 3 \ 33 -One unit is sold on October 31 for $28. Using the table provided, determine gross profit under the FIFO method.

(Multiple Choice)

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Question 101

Complete the following table using the perpetual LIFO method of inventory flow

(Essay)

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Question 102

During times of rising prices, which of the following is not an accurate statement?

(Multiple Choice)

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Question 103

If a company uses a periodic inventory system, the gross profit method can be used to estimate inventory for monthly or quarterly statements.

(True/False)

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Question 104

Describe three inventory cost flow assumptions and how they impact the financial statements.

(Essay)

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Question 105

It's not unusual for large companies to use different inventory costing methods for different segments of its inventory.

(True/False)

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Question 106

Inventory at the end of the year is overstated. Which of the following statements correctly states the effect of the error?

(Multiple Choice)

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Question 107

Three identical units of merchandise were purchased during March, as shown: Assume that one unit is sold on March 23 for $1,125. What is the ending inventory on March 31 using LIFO?

(Multiple Choice)

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Question 108

Inventory controls start when the merchandise is shelved in the store area.

(True/False)

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Question 109

The use of the lower-of-cost-or-market method of inventory valuation increases net income for the period in which the inventory replacement price declined.

(True/False)

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Question 110

Kristin's Boutiques has identified the following items for possible inclusion in its December 31 inventory. Which of the following would not be included in the year-end inventory?

(Multiple Choice)

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Question 111

Inventory errors, if not discovered, will self-correct within two years.

(True/False)

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Question 112

Applying the lower of cost or market to each item of inventory, what should the total inventory value be for the following items?

(Essay)

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Question 113

Three identical units of merchandise were purchased during March, as shown: Assume that one unit is sold on March 23 for $1,125. What is the gross profit for March using FIFO?

(Multiple Choice)

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Question 114

A subsidiary inventory ledger can be an aid in maintaining inventory levels at their proper levels.

(True/False)

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Question 115

Three identical units of merchandise were purchased during July, as follows: Assume one unit sells on July 28 for $45. Determine the gross profit, cost of goods sold, and ending inventory on July 31 using (a) first-in, first-out, (b) last-in, first-out, and (c) average cost flow methods.

(Essay)

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Question 116

During August, the first month of the fiscal year, sales totaled $875,000 and the cost of merchandise available for sale totaled $850,000. Estimate the cost of the inventory as of August 31, based on an estimated gross profit rate of 45%.

(Essay)

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Question 117

FIFO reports higher gross profit and net income than the LIFO method when ?

(Multiple Choice)

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Question 118

Three identical units of merchandise were purchased during March, as shown Assume that one unit is sold on March 23 for $1,125. What is the ending inventory on March 31 using LIFO.

(Multiple Choice)

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Question 119

Based on the following information, compute (a) inventory turnover; (b) average daily cost of goods sold using a 365 day year; and (c) number of days' sales in inventory. Cost of goods sold $195,640 Inventory: Beginning of year 20,500 End of year 18,628

(Essay)

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Question 120

Showing 101 - 120 of 210

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 Total 3 \ 33 -One unit is sold on October 31 for $28. Using the table provided, determine gross profit under the FIFO method.

Complete the following table using the perpetual LIFO method of inventory flow

During times of rising prices, which of the following is not an accurate statement?

If a company uses a periodic inventory system, the gross profit method can be used to estimate inventory for monthly or quarterly statements.

Describe three inventory cost flow assumptions and how they impact the financial statements.

It's not unusual for large companies to use different inventory costing methods for different segments of its inventory.

Inventory at the end of the year is overstated. Which of the following statements correctly states the effect of the error?

Three identical units of merchandise were purchased during March, as shown: Assume that one unit is sold on March 23 for $1,125. What is the ending inventory on March 31 using LIFO?

Inventory controls start when the merchandise is shelved in the store area.

The use of the lower-of-cost-or-market method of inventory valuation increases net income for the period in which the inventory replacement price declined.

Kristin's Boutiques has identified the following items for possible inclusion in its December 31 inventory. Which of the following would not be included in the year-end inventory?

Inventory errors, if not discovered, will self-correct within two years.

Applying the lower of cost or market to each item of inventory, what should the total inventory value be for the following items?

Three identical units of merchandise were purchased during March, as shown: Assume that one unit is sold on March 23 for $1,125. What is the gross profit for March using FIFO?

A subsidiary inventory ledger can be an aid in maintaining inventory levels at their proper levels.

Three identical units of merchandise were purchased during July, as follows: Assume one unit sells on July 28 for $45. Determine the gross profit, cost of goods sold, and ending inventory on July 31 using (a) first-in, first-out, (b) last-in, first-out, and (c) average cost flow methods.

During August, the first month of the fiscal year, sales totaled $875,000 and the cost of merchandise available for sale totaled $850,000. Estimate the cost of the inventory as of August 31, based on an estimated gross profit rate of 45%.

FIFO reports higher gross profit and net income than the LIFO method when ?

Three identical units of merchandise were purchased during March, as shown Assume that one unit is sold on March 23 for $1,125. What is the ending inventory on March 31 using LIFO.

Based on the following information, compute (a) inventory turnover; (b) average daily cost of goods sold using a 365 day year; and (c) number of days' sales in inventory. Cost of goods sold $195,640 Inventory: Beginning of year 20,500 End of year 18,628

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

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 Total 3 \ 33 -One unit is sold on October 31 for $28. Using the table provided, determine gross profit under the FIFO method.

Complete the following table using the perpetual LIFO method of inventory flow ​

During times of rising prices, which of the following is not an accurate statement?

If a company uses a periodic inventory system, the gross profit method can be used to estimate inventory for monthly or quarterly statements.

Describe three inventory cost flow assumptions and how they impact the financial statements.

It's not unusual for large companies to use different inventory costing methods for different segments of its inventory.

Inventory at the end of the year is overstated. Which of the following statements correctly states the effect of the error?

Three identical units of merchandise were purchased during March, as shown: ​ ​ Assume that one unit is sold on March 23 for $1,125. What is the ending inventory on March 31 using LIFO?

Inventory controls start when the merchandise is shelved in the store area.

The use of the lower-of-cost-or-market method of inventory valuation increases net income for the period in which the inventory replacement price declined.

Kristin's Boutiques has identified the following items for possible inclusion in its December 31 inventory. Which of the following would not be included in the year-end inventory?

Inventory errors, if not discovered, will self-correct within two years.

Applying the lower of cost or market to each item of inventory, what should the total inventory value be for the following items? ​

Three identical units of merchandise were purchased during March, as shown: Assume that one unit is sold on March 23 for $1,125. What is the gross profit for March using FIFO?

A subsidiary inventory ledger can be an aid in maintaining inventory levels at their proper levels.

Three identical units of merchandise were purchased during July, as follows: ​ Assume one unit sells on July 28 for $45. Determine the gross profit, cost of goods sold, and ending inventory on July 31 using (a) first-in, first-out, (b) last-in, first-out, and (c) average cost flow methods.

During August, the first month of the fiscal year, sales totaled $875,000 and the cost of merchandise available for sale totaled $850,000. Estimate the cost of the inventory as of August 31, based on an estimated gross profit rate of 45%.

FIFO reports higher gross profit and net income than the LIFO method when ?

Three identical units of merchandise were purchased during March, as shown Assume that one unit is sold on March 23 for $1,125. What is the ending inventory on March 31 using LIFO.

Based on the following information, compute (a) inventory turnover; (b) average daily cost of goods sold using a 365 day year; and (c) number of days' sales in inventory. ​ Cost of goods sold $195,640 Inventory: Beginning of year 20,500 End of year 18,628

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

Complete the following table using the perpetual LIFO method of inventory flow

Three identical units of merchandise were purchased during March, as shown: Assume that one unit is sold on March 23 for $1,125. What is the ending inventory on March 31 using LIFO?

Applying the lower of cost or market to each item of inventory, what should the total inventory value be for the following items?

Three identical units of merchandise were purchased during July, as follows: Assume one unit sells on July 28 for $45. Determine the gross profit, cost of goods sold, and ending inventory on July 31 using (a) first-in, first-out, (b) last-in, first-out, and (c) average cost flow methods.

Based on the following information, compute (a) inventory turnover; (b) average daily cost of goods sold using a 365 day year; and (c) number of days' sales in inventory. Cost of goods sold $195,640 Inventory: Beginning of year 20,500 End of year 18,628