Question 1

The ________ method of assigning costs to inventory and cost of goods sold exactly matches the costs of particular items with the revenues they generate and would be used when items can be easily traced to the purchase invoice cost.

Accepted Answer

The answer of The ________ method of assigning costs to...

Question 2

________ is the estimated sales price of damaged goods minus the cost of making the sale.

Accepted Answer

The answer of ________ is the estimated sales price of...

Question 3

The ________ ratio reflects how much inventory is available in terms of days' sales.

Accepted Answer

The answer of The ________ ratio reflects how much inventory...

Question 4

An advantage of the ________ method of inventory valuation is that it tends to smooth out the effect of erratic changes in costs.

Accepted Answer

The answer of An advantage of the ________ method of...

Question 5

Regardless of what inventory method or system is used,cost of goods available for sale must be allocated between ________ and ________.

Accepted Answer

The answer of Regardless of what inventory method or system...

Question 6

The cost of an inventory item includes the ________,plus ________ costs necessary to put it in a place and condition for sale.

Accepted Answer

The answer of The cost of an inventory item includes...

Question 7

When purchase costs regularly rise,the ________ method of inventory valuation yields the highest gross profit and net income.

Accepted Answer

The answer of When purchase costs regularly rise,the ________ method...

Question 8

Goods on consignment are goods that are shipped by the owner,called the ________,to another party called the ________ that will sell the goods for the owner.

Accepted Answer

The answer of Goods on consignment are goods that are...

Question 9

The ________ is a measure of how many times a company sells its inventory in a period.

Accepted Answer

The answer of The ________ is a measure of how...

Question 10

The ________ method of assigning costs to inventory and cost of goods sold requires that we divide the cost of goods available for sale by the units of inventory available at the time of each sale.

Accepted Answer

The answer of The ________ method of assigning costs to...

Question 11

The ________ method of assigning costs to inventory and cost of goods sold assumes that the most recent purchases are sold first.

Accepted Answer

The answer of The ________ method of assigning costs to...

Question 12

A ________ is recorded when inventory damage or obsolescence occurs.

Accepted Answer

The answer of A ________ is recorded when inventory damage...

Question 13

When purchase costs regularly rise,the ________ method of inventory valuation yields the lowest gross profit and net income,providing a tax advantage.

Accepted Answer

The answer of When purchase costs regularly rise,the ________ method...

Question 14

The ________ method of assigning costs to inventory and cost of goods sold assumes that the inventory items are sold in the order acquired.

Accepted Answer

The answer of The ________ method of assigning costs to...

Question 15

The ________ method is commonly used to estimate the value of inventory that has been destroyed,lost,or stolen.

Accepted Answer

The answer of The ________ method is commonly used to...

Question 16

Match between columns
                        Premises: FIFO method
Days' sales in inventory
Specific identification method
Interim statements
Retail inventory method
Net realizable value
Gross profit method
Inventory turnover
Weighted average inventory method
LIFO method

Accepted Answer

The Answer of A method for estimating an ending inventory is...

Question 17

Match between columns
                        Premises: Expense recognition principle
Net realizable value
Specific identification method
Inventory turnover
Consignee
Consignor
Days' sales in inventory
Lower of cost or market
Retail inventory method
Gross profit method

Accepted Answer

The Answer of Sales price minus the cost of making is...

Question 18

Match between columns
                        Premises: The method that will tend to smooth out erratic changes in costs.
The method that will assign a value to inventory that approximates current cost.
The method that is used if each inventory item can be matched with a specific purchase and invoice.
The method that will cause the company to have the lowest income taxes.
The method that will cause the company to have the lowest cost of goods sold.

Accepted Answer

The Answer of WA(Weighted average) and SI(Specific identification) and FIFO(First is...

Quiz 5: Inventories and Cost of Sales

The ________ method of assigning costs to inventory and cost of goods sold exactly matches the costs of particular items with the revenues they generate and would be used when items can be easily traced to the purchase invoice cost.

________ is the estimated sales price of damaged goods minus the cost of making the sale.

The ________ ratio reflects how much inventory is available in terms of days' sales.

An advantage of the ________ method of inventory valuation is that it tends to smooth out the effect of erratic changes in costs.

Regardless of what inventory method or system is used,cost of goods available for sale must be allocated between and .

The cost of an inventory item includes the ,plus costs necessary to put it in a place and condition for sale.

When purchase costs regularly rise,the ________ method of inventory valuation yields the highest gross profit and net income.

Goods on consignment are goods that are shipped by the owner,called the ,to another party called the that will sell the goods for the owner.

The ________ is a measure of how many times a company sells its inventory in a period.

The ________ method of assigning costs to inventory and cost of goods sold requires that we divide the cost of goods available for sale by the units of inventory available at the time of each sale.

The ________ method of assigning costs to inventory and cost of goods sold assumes that the most recent purchases are sold first.

A ________ is recorded when inventory damage or obsolescence occurs.

When purchase costs regularly rise,the ________ method of inventory valuation yields the lowest gross profit and net income,providing a tax advantage.

The ________ method of assigning costs to inventory and cost of goods sold assumes that the inventory items are sold in the order acquired.

The ________ method is commonly used to estimate the value of inventory that has been destroyed,lost,or stolen.

Match the following terms with the appropriate definition.

Match the following terms with the appropriate definition.

Match the inventory costing method from each situation