ACCT 2130: Chapters 9 & 10

Front

How do you calculate NRV?

Back

Estimated selling price - estimated costs

Front

For companies using a cost method other than LIFO or the retail inventory method, inventory is reported at:

Back

Lower of cost or NRV

Front

The practice of using the lower of cost or net realizable value to evaluate inventory reflects which of the following accounting principles? Options: Conservatism, Materiality, Matching Principle, Revenue Recognition

Back

Conservatism

Front

Which retail method includes markdowns in the cost-to-retail percentage? Options: Conventional, Average Cost

Back

Average Cost

Front

For companies using LIFO, inventory is valued at: Cost, Replacement cost, Lower of cost or market, Net realizable value

Back

Lower of cost or market

Front

When using the gross profit method to estimate ending inventory, it is not necessary to know: Cost of goods sold, Beginning inventory, Net sales, Net purchases

Back

Cost of goods sold

Front

Property, plant, and equipment and intangible assets are:

Back

Long-term revenue producing assets.

Front

What is Goodwill?

Back

Reported as an asset in the balance sheet only when it is purchased in connection with the acquisition of control over another company.

Front

How many years does a patent give you exclusive rights?

Back

20 years