The following movements occurred in inventories of clasps for necklaces and bracelets in the financial year 20X1 (in the following all prices plus VAT): date Quantity Price EUR / closure AWAY 01.01.20X1 4.200 0,30 Access February 8.600 0,40 departure April 6.400 Access September 1.600 0,80 departure December 2.400 The closing inventory on 12/31/20x1 is 5,600 closures. The market price on the balance sheet date is EUR 0.50 plus VAT. Which of the following statements is/are correct? When using the periodic LIFO method and taking into account the information. O a write-down to the lower market price is required on the balance sheet date. O consumption in December is valued at EUR 960. O the closing balance is valued at EUR 2,120 in the closing balance sheet. O hidden reserves arise.

The following movements occurred in inventories of clasps for necklaces and bracelets in the financial year 20X1 (in the following all prices plus VAT): date Quantity Price EUR / closure AWAY 01.01.20X1 4.200 0,30 Access February 8.600 0,40 departure April 6.400 Access September 1.600 0,80 departure December 2.400 The closing inventory on 12/31/20x1 is 5,600 closures. The market price on the balance sheet date is EUR 0.50 plus VAT. Which of the following statements is/are correct? When using the periodic LIFO method and taking into account the information. O a write-down to the lower market price is required on the balance sheet date. O consumption in December is valued at EUR 960. O the closing balance is valued at EUR 2,120 in the closing balance sheet. O hidden reserves arise.

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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