EBK ACCOUNTING INFORMATION SYSTEMS
EBK ACCOUNTING INFORMATION SYSTEMS
14th Edition
ISBN: 9780134475646
Author: ROMNEY
Publisher: PEARSON
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Chapter 1, Problem 5DQ
To determine

Explain some of the implications about the degree for which the innovative system designed by one company could be transferred to other company.

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Bedrock Company reported a December 31 ending inventory balance of $412,000. The following additional information is also available: -The ending inventory balance of $412,000 included $72,000 of consigned inventory for which Bedrock was the consignor. -The ending inventory balance of $412,000 included $22,000 of office supplies that were stored in the warehouse and were to be used by the company's supervisors and managers during the coming year. Based on this information, the correct balance for ending inventory on December 31 is: A) $362,000 B) $390,000 C) $412,000 D) $318,000 E) $340,000
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