Enviro Corporation had the following items as inventory as at December 31, 2020: $$\begin{array} { c l c c }
\text { Item No. } & \text { Quantity } & \text { Unit Cost}&\text { NRV } \
\text { A1 } & 130 & \$ 8.00 & \$ 8.40 \
\text { B4 } & 190 & 5.00 & 4.90 \
\text { C2 } & 190 & 12.00 & 12.90 \
\text { D3 } & 160 & 11.00 & 10.90
\end{array}$$ Assume that Enviro uses a perpetual inventory system and that none of the inventory items can be grouped together for accounting purposes. The year-end adjusting entry should include a charge to cost of goods sold of
A) $223.
B) $188.
C) $35.
D) $0.

Question

Enviro Corporation had the following items as inventory as at December 31, 2020: $$\begin{array} { c l c c } 
\text { Item No. } & \text { Quantity } & \text { Unit Cost}&\text { NRV } \
\text { A1 } & 130 & \$ 8.00 & \$ 8.40 \
\text { B4 } & 190 & 5.00 & 4.90 \
\text { C2 } & 190 & 12.00 & 12.90 \
\text { D3 } & 160 & 11.00 & 10.90
\end{array}$$ Assume that Enviro uses a perpetual inventory system and that none of the inventory items can be grouped together for accounting purposes. The year-end adjusting entry should include a charge to cost of goods sold of
A) $223.
B) $188.
C) $35.
D) $0.

Quizplus · Accepted Answer

The Answer of Enviro Corporation had the following items as inventory as at December 31, 2020: $$\begin{array} { c l c c } 
\text { Item No. } & \text { Quantity } & \text { Unit Cost}&\text { NRV } \
\text { A1 } & 130 & \$ 8.00 & \$ 8.40 \
\text { B4 } & 190 & 5.00 & 4.90 \
\text { C2 } & 190 & 12.00 & 12.90 \
\text { D3 } & 160 & 11.00 & 10.90
\end{array}$$ Assume that Enviro uses a perpetual inventory system and that none of the inventory items can be grouped together for accounting purposes. The year-end adjusting entry should include a charge to cost of goods sold of
A) $223.
B) $188.
C) $35.
D) $0.

Enviro Corporation Had the Following Items as Inventory as at December