The total cost of the ending inventory using the LIFO method is

The total cost of the ending inventory using the weighted - average method is

Shipping terms where titl to the goods passes to the uyer when the buyer receives the goods is called

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

A form used during a physical inventory to recor information about each item of merchandise on hand is called a(n)

The number of times the average amount of mechandise invenotry is sold during a specific period of time is called the

Goods that are given to a business to sell but for which title remains with the vendor are called a

The costing method that uses the lower of costor market rce to calculate the cost of the ending merchandise inventory is called the

A form used to show the type of merchandise, quantity received, quanity sold, and balance on hand is called a(n)

If an inventory is taken once each year, the business must be using the perpetual inventory

If the ending inventory is understated, retained earnings will be understated.

A periodic inventory maintains a continuus record of merchandise inventory increases and decreases.

To determine the inventory cost using the lower cost or market, a business compares the cost of inventory using its normal inventory costing method (FIFO, LIFO, or weighted average) to the current replacement cost of the inventory. The inventory is valued at whichever cost is lower.

A business may fail if it does not have enough inventory on hand, but it will not fail if it has an excess of inventory.

Comparing inventory costing methods in times of rising prices, the last-in, first-out method will result in the highest cost of the merchandis sold.

FOB shipping point means that the title to the goods passes to the buyer when the vendor delivers the goods at the buyer's place of business

Most businesses have a merchandise inventory turnover ratio cose to 12, since they offer terms of n/30 to their customers.

International financial reporting standards do not allow the use of the last-in, first-out method.

To use the retail method of estimating the inventory, the cost of purchases, sales, and the beginning inventory must be known. In adddition, the retail price of items sold must be known.

The cost of merchandise available for sale consists of the beginning merchandise inventory and net purchases.

Each year, a business uses the inventory costing method that in the most favorable net income.

To prepare monthly interim financial statements, a business should take the inventory monthly.

If ending inventory is overstated, net income will be overstated.

The consignor owns the goods on consignment and is responsible for selling the goods.

Using the LIFO method, the units from the beginning inventory will be the first units included in the cost of merchandise sold.

Using the FIFO method, the units from the beginning inventory will be the first units included in the cost of ending merchandise inventory.

The cost if goods sold calculated using the weighted-average method will always be between the amounts calculated using the LIFO and the FIFO methods.