Chapter 5 - Advanced Acctg

The following selected data are taken from the inventory records of Edwards, Inc.: Inventory item S10 had 200 units at a unit price of $17.00 in inventory on January 1. The first purchase during the year was for 400 units at $18.00. The second purchase was for 400 units at $19.00. The December 31 inventory consisted of 500 units. Using the information given, the total cost of the ending inventory using the FIFO method is

• $8,500
• $8,800
• $9,400
• $9,500

The following selected data are taken from the inventory records of Edwards, Inc.: Inventory item S10 had 200 units at a unit price of $17.00 in inventory on January 1. The first purchase during the year was for 400 units at $18.00. The second purchase was for 400 units at $19.00.  The December 31 inventory consisted of 500 units.  The total cost of the ending inventory using the LIFO method is

• $8,500
• $8,800
• $9,100
• $9,500

The following selected data are taken from the inventory records of Edwards, Inc.: Inventory item S10 had 200 units at a unit price of $17.00 in inventory on January 1. The first purchase during the year was for 400 units at $18.00. The second purchase was for 400 units at $19.00.  The December 31 inventory consisted of 500 units.  The total cost of the ending inventory using the weighted-average method is

• $8,500
• $9,100
• $9,400
• $9,500

The costing method that uses the price of merchandise purchased last to calculate the cost of merchandise sold first is called

• first-in, first-out
• lower of cost or market
• last-in, first-out
• weighted average

The number of times the average amount of merchandise inventory is sold during a specific period of time is called the

• average number of days’ sales in merchandise inventory
• average sales turnover ratio
• inventory sales period ratio
• inventory turnover ratio

What number goes in the box labeled "A"

• $57,000
• $102,000
• $283,000
• $340,000

What number goes in the box labeled "B"

• $431,000
• $283,000
• $340,000
• $102,000

What number goes in the box labeled "C"

• $283,000
• $533,000
• $340,000
• $431,000

What number goes in the box labeled "D"

• Answer not provided
• $102,000
• $431,000
• $490,000

Using the information provided, how much is the estimated gross profit (in the box labeled "A")?

• $26,100
• $11,745
• $261,000
• Answer not provided