Solution:
True, The matching of revenue with inventory cost is best achieved with the LIFO inventory method.
True or false. The matching of revenue with inventory cost is best achieved with the LIFO...
question #45 Indicate whether the following statement is true or false. The LIFO inventory flow method assumes that mems purchased last should stay in the ending inventory. If they have not been sold True or False True False
Proponents of the LIFO inventory cost flow assumption argue that this costing methods is superior to the alternatives because it results in better matching of revenue and expense. A. explain why"better Matching" occurs with LIFO? B. What is the impact on the carrying value of inventory in the balance sheet when LIFO rather than FIFO is used during periods of inflation?
True or False Unsold consigned merchandise should be included in the consignee’s inventory. If ending inventory for the year is understated, net income for the year is overstated. In the inventory for the year is overstated, owner’s equity reported on the balance sheet at the end of the year is understated. The specific identification inventory method should be used when the inventory consists of identical. Low cost units that are purchased and sold frequently. Of the three widely used inventory...
During the year, TRC Corporation has the following inventory transactions. For the entire year, the company sells 400 units of inventory for $50 each. Required: 1. Using FIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit. 2. Using LIFO, calculate ending inventory, cost of goods sold, sales revenue, and gross profit. 3. Using weighted-average cost, calculate ending inventory, cost of goods sold, sales revenue, and gross profit. (Round "Average Cost per unit" to 4 decimal places and all other answers to...
True or false. The allowance method of handling bad debts violates the matching principle.
When the value of inventory falls below its cost, companies other than those that use LIFO have the option of recording the inventory at cost or the lower net realizable value. True False 25 135 When the net realizable value of inventory falls below its cost, no adjustment to the accounting records is needed True False 016 18 The adjustment to write down inventory from cost to its lower net realizable value includes a debit to Cost of Goods Sold...
True or False. DNA profiling relies on matching entire genomes. If false, make it a true statement.
periodic inventory using FIFO, LIFO, and weighted average cost
methods
Periodic Inventory Using FIFO, LIFO, and Weighted Average Cost Methods The units of an item available for sale during the year were as follows: 12 units at $35 $420 Jan. 1 Inventory 540 Purchase 15 units at $36 Aug. 7 380 Purchase 10 units at $38 Dec. 11 $1,340 37 units There are 20 units of the item in the physical inventory at December 31. The periodic inventory system is...
1.
The perpetual inventory method cannot be used in a job order
cost system.
True
False
2. A job order cost system and a process cost system are two
alternative methods for valuing inventories.
True
False
3. Accumulating and assigning manufacturing costs are two
important activities in a job order cost system.
True
False
4. When raw materials are purchased, the Work in Process
Inventory account is debited.
True
False
5. Job order cost sheets constitute the subsidiary ledger of...
Cost of goods sold is credited for the amount of the decrease in the LIFO reserve. True or False True False Insurance during transit paid by the buyer is recorded by the buyer at the time of shipment. True or False True False Periodic average cost and perpetual average cost always produce the same dollar amounts for ending inventory. True or False True False Cost of goods on consignment is included in the consignor's inventory until sold. True or False