37.What inventory system would you expect to find in the following situations? A. Diamond ring department of a jewelry store B. Hardware and construction supplies store C. Drugstore chain D. Automobile dealerships - new car department   a. Perpetual for A, B and D; Periodic for C b. Perpetual for A and C; Periodic for B and D c. Perpetual for A and D; Periodic for B and C d. Perpetual for A, B and C; Periodic fo

Q: 45. Which of the following statements islare false about the steps in a purchase transaction? * 1.…

A: Normally a purchase transaction has the following steps:  The first step is to knowing the required…

Q: moWhen recording a purchase of inventory on credit, which accounts are typically affected?   A)…

A: Under double entry system of book keeping one account is debited and other is credited.The Assets…

Q: Using the five journals as named here: Sales, Purchases, Cash Receipts, Cash Disbursements, and…

A: Purchase Journal in accounting and book keeping is a log book to record transactions related to the…

Q: Which of the following is a characteristic of a periodic inventory system? a. The system reports how…

A:

Q: Which of the following are characteristics of a perpetual inventory system? (a). Management knows…

A: There were two types of inventory systems to record and maintain inventory.   1. Periodic…

Q: ow, record journal entries for the following transactions, which uses the perpetual inventory…

A: Perpetual Inventory System:   A perpetual inventory system is a method of inventory management that…

Q: In the Purchasing Process - Level 0 Diagram, a data flow called "inventory's purchase requisition"…

A: The purchasing process, also known as the procurement process, refers to the series of activities…

Q: Which of the following journal entries would you record to recognize the sale of inventory on…

A: (1) Debit what comes in, Credit what goes out. (2) Debit all expenses and losses, Credit all…

Q: 31-Which of the following would normally be classified as a Selling expense of Merchandising…

A: 31. d. Advertising expense

Q: Which journal entry is correct when there is a sale under a perpetual inventory and FOB shipping…

A: Solution- Accounts payable -------------------DR                 To Merchandise inventory. (To…

Q: Walmart uses a perpetual inventory system. Which of the following is a reason why Walmart needs to…

A: Periodic inventory system is that inventory system under which all transactions related to inventory…

Q: Sayers Co. sold merchandise on account to a customer for $90,000 terms 1/10, n/30. The cost of the…

A: Journal: Recording of a business transactions in a chronological order.

Q: Which of the following statements is true about the periodic inventory system? Question 2Select one:…

A: Inventory valuation is referred to as that method which helps in assigning a monetary value to the…

Q: The following are 3 Inventory Cost Determination Methods: 1. Specific Identification 2. FIFO 3.…

A: Specific identification is a method of inventory valuation where each item in the inventory is…

Q: Cars, appliances, and fine jewelry would all typically use which of the following inventory methods?…

A: The question is related to Pricing of the inventory. As Cars, appliances, and fine jewelry all are…

Q: Amex Stores should include which of the following items in its inventory at the statement of…

A: solution concept we should always consider the following points while valuing the inventory goods…

Q: The following accounts are included in the ledger of David Company: Advertising expense Freight-in…

A: Cost of goods sold = Beginning inventory + Net purchases + Direct expenses - Ending inventory

Q: MULTIPLE CHOICE 1. The entries in a purchases journal are posted to which of the following…

A: Disclaimer: “Since you have asked multiple question, we will solve the first question for you. If…

Q: Required: 1. Complete the…

A: "Since you have posted multiple questions with multiple sub parts,we will provide the solution only…

Q: Which one of the following methods can be applied in situations where different purchases can be…

A: Firsts in first out (fifo)  - It is a method under which item purchased first will be disposed/sold…

Q: Exccutive ventory record for each of the 60 types of products the company kceps in stock. The…

A: Last in First Out Method of Inventory Valuation: It is based on the assumption that the last item of…

Q: system perpetual physical etail periodic

A: Physical inventory system has a fixed schedule to manually and physically count the items of…

Q: 4. One of the primary objectives of inventory controls is: Select one: A. Safeguarding inventory…

A: Inventory controls are controls designed to ensure the right amount of Inventory is available for…

Q: Using the following letters to represent items: P = purchases (net) C = cost of good sold B =…

A: We know, Ending inventory = Begining inventory + Purchases - Cost of good sold E = B + P - C

Q: Using the five journals as named here: Sales, Purchases, Cash Receipts, Cash Disbursements, and…

A: Journal entry record the transaction by using double entry system and affects both debit and credit…

Q: comparing the accounts of a merchandising company with those of a service company, what additional…

A: Merchandise company sales goods to customers while service company provide services to customer and…

Q: QUESTION 9 The entry to record the company's cost of selling merchandise under a perpetual inventory…

A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: 124. Which of the following businesses is most likely to use a periodic inventory system? A. An…

A: The periodic inventory method involves physically counting and recording inventory at specific…

Q: a debit to Accounts Payable and a credit to Merchand

A: A perpetual inventory system is an inventory management approach that uses an inventory management…

Q: discuss which inventory valuation methods would most likely be used by the following businesses and…

A: Inventory valuation means identifying the stock in an organisation and finding its financial value…

Q: When the merchandise inventory account provides a running balance of the goods on hand, which…

A: The question is related to Inventory system. There are two methods of Inventory.Perpetual inventory…

Q: [The following information applies to the questions displayed below.] The following narrative…

A: INFORMATION:- The question asks to provide the best class name to replace the letter A in the given…

Q: Which of the following included in the buyer's cost? A. All the descriptions are tight. B. Insurance…

A: Inventory cost refers to the cost that is related to the business associated with the holding…

Q: Northgate Products Corp. sells gadgets and uses the perpetual inventory system. During the month of…

A: 1a) Stock register January-2019 (Perpetual inventory system - FIFO method) Date Purchased Sold…

Q: The tracking of inventory shrinkage due to theft, damage, or errors is completed with the help of a…

A: (A) physical CountThe tracking of inventory shrinkage due to theft, damage or error is completed…

Q: In recording the cost of goods sold based on data available from perpetual inventory records, the…

A: The inventory method is allocated into two categories i.e. perpetual inventory system and periodic…

Q: 31. Under a perpetual inventory system, a.a physical count is required to determine cost of…

A: Perpetual inventory system: The method or system of maintaining, recording, and adjusting the…

Q: B-Marts' large proportion of merchandise held on consignment from suppliers. Which account balance…

A: Audit is the process of checking and verifying books of account of the business in order to ensure…

Q: Assume the perpetual inventory system is used unless stated otherwise. Round all numbers to the…

A: Perpetual inventory system: The method or system of maintaining, recording, and adjusting the…

Q: recording this transaction, and assuming a perpertual inventory system is used, the journal entry…

A: The journal entries are prepared to record the transactions on regular basis. The assets and…

Q: Which type of inventory might a service provider report? Select one: O O O a. raw materials b.…

A: Lets understand the basics.In business industry, physical goods are sold to customer. So in the…

Q: 19) The inventory system which do not use merchandise inventory account and reduces the record…

A: The company basically uses two types of system to maintain the record of sales and purchase of…

Inventory Valuation

Before discussing the topic inventory valuation let’s discuss the meaning of inventory. In accounting, inventory is also known as stock. Inventory means all the finished goods, materials, merchandise that a business holds for the purpose of selling it in the market with the motive of earning profit.