5- Inventory Cost FlowAssumptionsLEARNING OBJECTIVE: Differentiate between thekey characteristics of the four inventory valuationmethods.Which of the following descriptions correspondswith the weighted average inventory valuationmethod?a.) Matches cost of items purchased againstcost of items in inventoryb.) Disregards when inventory was purchasedc.) Inventory purchased first has a greaterweight than inventory purchased laterd.) Tends to be used for inventories of large,unique itemsSUBMIT MY ANSWER

The weighted average inventory valuation method matches the cost of items purchased against the cost…

Answered: 5- Inventory Cost Flow Assumptions…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please answer it if is TRUE or FALSE.
1a The inventory cost flow method that reports the earliest costs in ending inventory is a. LIFO b. weighted average cost c. FIFO d. specific identification
a.) determine the cost assigned to ending inventory and to the cost of goods sold using FIFO. b.) determine the cost assigned to ending inventory and to cost of good solc using LIFO. c.) compute the gross margin for each method
1. Using the data from page 6-5 of the VLN determine the ending inventory using First in First out (FIFO)_____ 2. Using the data from page 6-5 of the VLN determine the ending inventory for Last In First Out (LIFO)_____ 3. Using the data from pages 6-5 and 6-6 of the VLN determine ending inventory for Weighted Average.______ * The first picture is page 6-5 and the second picture is page 6-6
Which method results in a balance sheet valuation of inventory method farthest away from its economic value? Select one: a. FIFO b. LIFO c. Weighted Average PreviousSave AnswersNext
Of the following, select the attribute that would be the best primary key in an inventory table. a. ITEM NAME b. ITEM LOCATION c. ITEM COST d. ITEM NUMBER e. ITEM SUPPLIER
identify the correct statement from the following: Weighted average method can be used for inventory valuation in case of items like vintage cars. FIFO method can be used for inventory valuation in case of customized jewelry. Specific cost method can be used for inventory valúation in case of interchangeable goods. Specific cost method can be used for inventory valuation in case of items like customized product as per the request of customer. Environmental reports and value-added statements are: Chapter 5 - IAS 16..pdf A Chapter 5 - IAS 16..pdf A Chapter 4 - IAS 2 i.pdf A 01:59 P EN Y-TI/-V-0 26 ll
FIFO, Average cost, and LIFO are often used for inventory valuation purposes. Compare these methods and discuss the effects of each method in the determination of income and asset management
On the basis of the following data, determine the value of the inventory at the lower of cost or market. Assemble the data in the form illustrated in Exhibit 10. Product InventoryQuantity Cost PerUnit Market Value per Unit(Net Realizable Value) Class 1: Model A 16 $162 $169 Model B 32 190 198 Model C 34 152 148 Class 2: Model D 31 298 309 Model E 42 72 78 Question Content Area a. Determine the value of the inventory at the lower of cost or market applied to each item in the inventory. Inventory at the Lower of Cost or Market Product InventoryQuantity Costper Unit Market Valueper Unit(Net Realizable Value) Cost Market Lower of Cost or Market Model A fill in the blank 1b67cb01c017023_1 $fill in the blank 1b67cb01c017023_2 $fill in the blank 1b67cb01c017023_3 $fill in the blank 1b67cb01c017023_4 $fill in the blank 1b67cb01c017023_5 $fill in…
Question 12 Which report shows the book (purchase or cost) value of inventory items with quantity on hand? Product/Service List O Transaction List by Inventory Item Sales by Product/Service Summary O Inventory Valuation Summary (or Detail)
When is ending inventory written down below its acquisition cost on the balance sheet? Select one: A. When units are damaged, physically deteriorated, or obsolete B. When the inventory's replacement cost exceeds its acquisition cost C. When the inventory's replacement cost is below its acquisition cost D. Both A and C
Inventory valuation is used to calculate the cost of goods sold and cost of ending inventory. The most widely used methods are LIFO, FIFO and average cost method. You are required to find out the inventory system applied, the method of inventory valuation used, and what does inventory consists of with their respective amount?

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