Answer
11) Option A:When market value of inventory is higher than the cost in the book.
What is the value of the ending inventory using First In First out for a periodic...
1 12. Special Journals are used to: a Increase efficiency b. Reduce costs c. Reduce the number of similar journal entries prepared d. All of the above e. None of the above 13. Segregation of duties is one example of a Gencrally Accepted Accounting Principles b. FASB c. Internal Controls d. Accounting Cycle 14. Which of the following is NOT a generally accepted accounting principle? a. Balance Principle b. Matching Principle c. Revenue recognition principle d. Consistency principle 15. When...
1> The use of the lower of cost or market method to value inventory for reporting purposes is related to the accounting principle of: A. verifiability B. conservatism C. matching D. historical cost 2> The size of the LIFO cash flow advantage depends on all of the following EXCEPT A. days of inventory B. tax rate C. severity of input cost change D. rapidity of fixed asset turnover
Regardless of the inventory cost flow assumption used, inventories on the balance sheet are stated at: A. original cost. B. the higher of cost or market. C. the lower of cost or market. D. realizable value. The net book value of a depreciable asset is: A. the fair value of the asset. B. the difference between the asset's cost and accumulated depreciation. C. the amount for which the asset should be insured. D. the difference between the asset's cost and...
ABC buys widgets for $5 cash and sells them on account for $8. What is the sacrifice value of a widget on the books of ABC? $5 $8 $3 Impossible to determine from the given information State and city politicians generally prefer giving their workers Defined Contribution Plans B) Defined Benefit Plans C) Social Security D) Either plan Periodic vs.Perpetual Inventory Accounting Periodic Inventory Accounting results in a higher Cost of Goods Sold than Perpetual Inventory Accounting Periodic Inventory Accounting...
Which of the following statements regarding the concepts underlying the balance sheet are true? A company buys land for $5 million dollars in 1983. The land is now worth $15 million. The company should increase the book value of this asset on its balance sheet to reflect its current value. All events affecting the current value of a company are reported on the balance sheet. Under Generally Accepted Accounting Principles, assets are generally written down if the market value declines,...
,????? Question 34 The fair value accounting adjustment: Not yet answered Marked out of 100 Remove flag Select one: a. Affects both the balance sheet and the current period income statement. O b. Is not made when the current market value of investments in marketable securities is higher than original cost. c. May result in either a gain or a loss to be reported in the current period income statement. d. Represents a departure from the cost principle. Question 35
If a company record$350 instead of $530, what should be done? A. Add 180 to bank balance B. Subtract 180 from bank book C. Add 180 to bank book D. Subtract 180 from bank balance 5. GDM
The LIFO method of valuing inventory in an environment of rising prices and costs, generally results in the following : All of the above An assumption that more recently acquired inventory is used for current production - leading to higher COGS and lower accounting profits Leads to a Balance Sheet that understates the market value of the inventory that remains Leads to a lower amount of corporate income tax being paid
26 An everstatement of ending ivry wll e A An overstatement of asts and ty n e balanee sheet B.An understatement of amet and eqity on the balance sheet. CAaoverstatement of s D. An understatement of ats and an atement of equity on the balance sheet E No effect on the balance sheet sets and an uderstatement of equity on the balance sheet 27. The investery valeation method tet deetie ch item in ending inventory with a specific parchase and...
Destion 5 If the resale value of inventory is than its original cost, the value of the inventory is adjusted using the "Lower of Cost or Market" method o quality cost lower O higher