Question

please help

Inventories affect a.) only the balance sheet b.) only the income statement \ both the balance sheet and the income statement d.) nether the balance sheet nor the income statement Beginning inventory plus the cost of goods purchased equals a.) cost of goods sold. b.) cost of goods available for sale net purchases d.) total goods purchased Inventory tumover is calculated by dividing cost of goods sold by a.) beginning inventory b.) ending inventory average inventory d.) 365 days The partner in a limited partnership that has unlimited liability is referred to as the a.) lead partner b.) head partner c.) general partner d unlimited Which of the following is not an advantage of the partnership form of business? a.) Mutual agency b.) Ease of formation c.) Ease of decision making d) Freedom from governmental regulations and restrictions. True or False . Transactions that affect inventories on hand have an effect on both the balance sheet the income statement. . FIFO inventory method results in an ending inventory valued at the most recent cost. Expensing the cost of small tools is an application of the materiality constraint. . A major advantage of the partnership form of organization is that the partners have unlimited liability. ut he oween partners must be in writing.

Answer 1

solution: 1 option'c is correct. - "Both the balance sheet and the income state ment. djustment to inventory can affect both the income statements and the balance sheet. The reason for the inventory adjustment will determine if only the balance sheet is impacted or if the change also impacts the income statement. 2) option B is correct. cost of goods available for sale. cost of goods available for sale = Beginning inventory't cost of goods purchased. It means total available goods to sales. After sales if any inventory left is known as ending inventory. 3) option 'c' is coorect. average inventory Inventory turnover= COGS / Average inventory Days in inventory = 365 days / inventory turnover.

w option à is correct. leadpartner." s option & is correct freedom from Governmental Regulations and Restrictions. TRUE or FALSE ) and The transaction of inventory both balance sheet income Statement 25 - 3) True FIFO valued at most recent cost True. expensing small tools is as per materiality concept True It is not an adrantage false. s) It can be oral agreement Felse .