which of the following statements is correct with respect to inventories? course hero

What is ending inventory in FIFO?

What is the correct valuation at lower-of-cost or market?

When did State Materials change from FIFO to weighted average?

Did Harold Company correct inventory?

Can inventory costing be used from one accounting period to another?

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Accounting Chapter 6 Practice Quiz Flashcards | Quizlet

On January 1, 2018, Twister Enterprises, a manufacturer of a variety of transportable spin rides, issues $600,000 of 8% bonds, due in 20 years, with interest payable semiannually on June 30 and December 31 each year.

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Study with Quizlet and memorize flashcards containing terms like Cecil gives goods on consignment to Jerry who agrees to try to sell them for a 20% commission. At the end of the accounting period, which of the following parties includes the consigned goods in its inventory? a.Cecil b. Jerry c. Both Cecil and Jerry d. Neither Cecil nor Jerry, Goods in transit should be included in the inventory ...

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What is ending inventory in FIFO?

Under FIFO, the ending inventory is based on the latest units purchased.

What is the correct valuation at lower-of-cost or market?

The correct valuation at lower-of-cost-or-market uses the lower of cost or the replacement cost, in this case, $45 x 200 toys.

When did State Materials change from FIFO to weighted average?

State Materials, Inc. changed from the FIFO method of costing inventories to the weighted average method during 2016. When reported in the 2016 comparative financial statements, the 2015 inventory amount will be:

Did Harold Company correct inventory?

Harold Company overstated its inventory by $15,000 at December 31, 2014. It did not correct the error in 2014 or 2015. As a result, Harold's stockholders' equity was

Can inventory costing be used from one accounting period to another?

The same inventory costing method should be used from one accounting period to another

What is inventory measure?

measures the number of times on average the inventory is sold during the period

How to determine the cost of ending inventory?

Companies determine the cost of the ending inventory by taking the unit cost of the most recent purchase and working backward until all units of inventory have been costed.

What is inventory counting?

1. Involves counting, weighing, or measuring each kind of inventory on hand.

What is the first to be recognized in determining cost of goods sold?

1. Costs of the latest goods purchased are the first to be recognized in determining cost of goods sold.

Who owns the goods until they reach the buyer?

Ownership of the goods remains with the seller until the goods reach the buyer.

When does ownership of goods pass to the buyer?

Ownership of the goods passes to the buyer when the public carrier accepts the goods from the seller. Goods in Transit. FOB Destination Point. Ownership of the goods remains with the seller until the goods reach the buyer. Goods in transit should be included in the inventory of the buyer when the:

What is ending inventory in FIFO?

Under FIFO, the ending inventory is based on the latest units purchased.

What is the correct valuation at lower-of-cost or market?

The correct valuation at lower-of-cost-or-market uses the lower of cost or the replacement cost, in this case, $45 x 200 toys.

When did State Materials change from FIFO to weighted average?

State Materials, Inc. changed from the FIFO method of costing inventories to the weighted average method during 2016. When reported in the 2016 comparative financial statements, the 2015 inventory amount will be:

Did Harold Company correct inventory?

Harold Company overstated its inventory by $15,000 at December 31, 2014. It did not correct the error in 2014 or 2015. As a result, Harold's stockholders' equity was

Can inventory costing be used from one accounting period to another?

The same inventory costing method should be used from one accounting period to another