Question

Tesla 2016 10-K

Required:      Answer the following questions based on your examination of the Tesla, Inc. 2016 10-K Note that some questions pertain to fiscal year 2016 and others pertain to fiscal year 2015; please carefully read each question

( Tesla, Inc. 2016 10-K ) is available on the internet. Sorry that It cannot be uploaded because it is more than 100 pages.

http://ir.tesla.com/secfiling.cfm?filingid=1564590-17-3118&cik=1318605

1. What is the December 31, 2016 balance (in thousands) of Inventory for Tesla, Inc.?

a. 2,067,454 b. 1,277,838 c. 6,259,796 d. 2,782,006

2. Find how Tesla determines inventory's "cost." What cost does this method approximate?

a. LIFO b. FIFO c. Average Cost d. Specific Identification

3. Tesla values its inventory at the lower of cost or net realizable value. When Tesla is required to record a writedown journal entry for inventory, what specific account name does it debit?

a. Cost of Goods Sold b. Loss on Inventory c. Cost of Automotive Revenues d. Inventory

4. When companies are required to record a write-down journal entry for inventory, which specific account name does GAAP prefer that a company debits?

a. Cost of Goods Sold b. Loss on Inventory c. Cost of Automotive Revenues d. Inventory

5. For fiscal year 2015, what was the amount of Tesla's inventory write-downs?

a. $65.52 million b. $52.8 million c. $15.6 million d. $44.9 million

6. Are Tesla's inventory write-downs increasing or decreasing over the three-year period shown in the 10-K?

a. Increasing b. Decreasing

Answer 1

1	a. $2067454
2	b. FIFO
3	c. Cost of Automotive revenues
4	b. Loss on inventory
5	d. $44.9 million
6	a. Increasing