Question 1

The two most widely used methods for determining the cost of inventory are

Accepted Answer

A) FIFO and LIFO 
B) FIFO and average 
C) LIFO and average 
D) gross profit and average 
A) FIFO and LIFO 
B) FIFO and average 
C) LIFO and average 
D) gross profit and average

Question 2

The units of Manganese Plus available for sale during the year were as follows:
   
There are 15 units of the product in the physical inventory at November 30.The periodic inventory system is used.Determine the difference in gross profit between the LIFO and FIFO inventory cost systems.

Accepted Answer

The answer of The units of Manganese Plus available for...

Question 3

Which of the following is used to analyze the efficiency and effectiveness of inventory management?

Accepted Answer

A) inventory turnover only 
B) number of days' sales in inventory only 
C) both inventory turnover and number of days' sales in inventory 
D) neither inventory turnover or number of days' sales in inventory 
A) inventory turnover only 
B) number of days' sales in inventory only 
C) both inventory turnover and number of days' sales in inventory 
D) neither inventory turnover or number of days' sales in inventory

Question 4

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

Accepted Answer

The answer of Beginning inventory,purchases and sales data for tennis...

Question 5

If a fire destroys the merchandise inventory,the gross profit method can be used to estimate the cost of merchandise destroyed.

Accepted Answer

A) True 
 B)False

Question 6

Use the following information 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 cost of merchandise sold for the sale of May 20 using the LIFO inventory cost method.

Accepted Answer

A) $136 
B) $144 
C) $180 
D) $120 
A) $136 
B) $144 
C) $180 
D) $120

Question 7

Beginning inventory,purchases,and sales for Product - Weld TM are as follows:
   
Assuming a perpetual inventory system and the first-in,first-out method,determine (a)the cost of the merchandise sold for the September 30 sale and (b)the inventory on September 30.

Accepted Answer

a)Cost of merchandise sold:
7

Question 8

Under the _________ inventory method,accounting records maintain a continuously updated inventory value.

Accepted Answer

A) retail 
B) periodic 
C) physical 
D) perpetual 
A) retail 
B) periodic 
C) physical 
D) perpetual

Question 9

Most large companies will use only one inventory costing methods for all of its different segments.

Accepted Answer

A) True 
 B)False

Question 10

If the estimated rate of gross profit is 30%,what is the estimated cost of the merchandise inventory on September 30,based on the following data?

Accepted Answer

A) $320,000 
B) $192,500 
C) $275,000 
D) $105,000 
A) $320,000 
B) $192,500 
C) $275,000 
D) $105,000

Question 11

The following units of an inventory item were available for sale during the year:
 
The firm uses the periodic inventory system.During the year,60 units of the item were sold.
The value of ending inventory using LIFO is:

Accepted Answer

A) $1,250 
B) $1,350 
C) $1,375 
D) $1,150 
A) $1,250 
B) $1,350 
C) $1,375 
D) $1,150

Question 12

For the year ended December 31,2014 Depot Max's cost of merchandise 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

Accepted Answer

A) 42 
B) 46 
C) 8 
D) 44 
A) 42 
B) 46 
C) 8 
D) 44

Question 13

The following data regarding purchases and sales of a commodity were taken from the related perpetual inventory account:

Accepted Answer

The answer of The following data regarding purchases and sales...

Question 14

The following units of a particular item were available for sale during the year:
   
The firm uses the perpetual inventory system and there are 240 units of the item on hand at the end of the year.What is the total cost of ending inventory according to FIFO?

Accepted Answer

$193,200 (

Question 15

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 calculates the cost of merchandise sold and ending inventory using FIFO.

Accepted Answer

The answer of Beginning inventory,purchases and sales data for widgets...

Question 16

The following lots of a particular commodity were available for sale during the year:
 
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 amount of inventory at the end of the year according to the LIFO method?

Accepted Answer

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

Question 17

Stevens Company started the year with an inventory cost of $145,000.During the month of January they purchased inventory that cost of $53,000.January sales totaled $140,000.Estimated gross profit is 35%.The estimated ending inventory as of January 31 is

Accepted Answer

A) $58,000 
B) $91,000 
C) $107,000 
D) $69,300 
A) $58,000 
B) $91,000 
C) $107,000 
D) $69,300

Question 18

During periods of increasing costs,an advantage of the LIFO inventory cost method is that it matches more recent costs against current revenues.

Accepted Answer

A) True 
 B)False

Question 19

In the retail inventory method,the cost to retail ratio is equal to the cost of goods sold divided by the retail price of the good sold.

Accepted Answer

A) True 
 B)False

Question 20

Determine the total value of the merchandise using Net Realizable Value:

Accepted Answer

The answer of Determine the total value of the merchandise...

The two most widely used methods for determining the cost of inventory are

The units of Manganese Plus available for sale during the year were as follows: There are 15 units of the product in the physical inventory at November 30.The periodic inventory system is used.Determine the difference in gross profit between the LIFO and FIFO inventory cost systems.

Which of the following is used to analyze the efficiency and effectiveness of inventory management?

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

If a fire destroys the merchandise inventory,the gross profit method can be used to estimate the cost of merchandise destroyed.

Beginning inventory,purchases,and sales for Product - Weld TM are as follows: Assuming a perpetual inventory system and the first-in,first-out method,determine (a)the cost of the merchandise sold for the September 30 sale and (b)the inventory on September 30.

Under the _________ inventory method,accounting records maintain a continuously updated inventory value.

Most large companies will use only one inventory costing methods for all of its different segments.

If the estimated rate of gross profit is 30%,what is the estimated cost of the merchandise inventory on September 30,based on the following data?

The following units of an inventory item were available for sale during the year: The firm uses the periodic inventory system.During the year,60 units of the item were sold. The value of ending inventory using LIFO is:

For the year ended December 31,2014 Depot Max's cost of merchandise 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

The following data regarding purchases and sales of a commodity were taken from the related perpetual inventory account:

The following units of a particular item were available for sale during the year: The firm uses the perpetual inventory system and there are 240 units of the item on hand at the end of the year.What is the total cost of ending inventory according to FIFO?

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 calculates the cost of merchandise sold and ending inventory using FIFO.

The following lots of a particular commodity were available for sale during the year: 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 amount of inventory at the end of the year according to the LIFO method?

Stevens Company started the year with an inventory cost of $145,000.During the month of January they purchased inventory that cost of $53,000.January sales totaled $140,000.Estimated gross profit is 35%.The estimated ending inventory as of January 31 is

During periods of increasing costs,an advantage of the LIFO inventory cost method is that it matches more recent costs against current revenues.

In the retail inventory method,the cost to retail ratio is equal to the cost of goods sold divided by the retail price of the good sold.

Determine the total value of the merchandise using Net Realizable Value:

Introduction to Accounting and Business

Analyzing Transactions

The Adjusting Process

Completing the Accounting Cycle

Accounting for Merchandising Businesses

Sarbanes-Oxley, internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Current Liabilities and Payroll

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

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Exam 6: Inventories

The two most widely used methods for determining the cost of inventory are

The units of Manganese Plus available for sale during the year were as follows: There are 15 units of the product in the physical inventory at November 30.The periodic inventory system is used.Determine the difference in gross profit between the LIFO and FIFO inventory cost systems.

Which of the following is used to analyze the efficiency and effectiveness of inventory management?

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

If a fire destroys the merchandise inventory,the gross profit method can be used to estimate the cost of merchandise destroyed.

Beginning inventory,purchases,and sales for Product - Weld TM are as follows: Assuming a perpetual inventory system and the first-in,first-out method,determine (a)the cost of the merchandise sold for the September 30 sale and (b)the inventory on September 30.

Under the _________ inventory method,accounting records maintain a continuously updated inventory value.

Most large companies will use only one inventory costing methods for all of its different segments.

If the estimated rate of gross profit is 30%,what is the estimated cost of the merchandise inventory on September 30,based on the following data?

The following units of an inventory item were available for sale during the year: The firm uses the periodic inventory system.During the year,60 units of the item were sold. The value of ending inventory using LIFO is:

For the year ended December 31,2014 Depot Max's cost of merchandise 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

The following data regarding purchases and sales of a commodity were taken from the related perpetual inventory account:

The following units of a particular item were available for sale during the year: The firm uses the perpetual inventory system and there are 240 units of the item on hand at the end of the year.What is the total cost of ending inventory according to FIFO?

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 calculates the cost of merchandise sold and ending inventory using FIFO.

The following lots of a particular commodity were available for sale during the year: 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 amount of inventory at the end of the year according to the LIFO method?

Stevens Company started the year with an inventory cost of $145,000.During the month of January they purchased inventory that cost of $53,000.January sales totaled $140,000.Estimated gross profit is 35%.The estimated ending inventory as of January 31 is

During periods of increasing costs,an advantage of the LIFO inventory cost method is that it matches more recent costs against current revenues.

In the retail inventory method,the cost to retail ratio is equal to the cost of goods sold divided by the retail price of the good sold.

Determine the total value of the merchandise using Net Realizable Value:

Introduction to Accounting and Business

Analyzing Transactions

The Adjusting Process

Completing the Accounting Cycle

Accounting for Merchandising Businesses

Sarbanes-Oxley, internal Control, and Cash

Receivables

Fixed Assets and Intangible Assets

Current Liabilities and Payroll

Corporations: Organization, stock Transactions, and Dividends

Long-Term Liabilities: Bonds and Notes

Investments and Fair Value Accounting

Statement of Cash Flows

Financial Statement Analysis

Filters