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##### Accounting Questions

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1. JJenks Company developed the following information about its inventories in applying the lower of cost or market (LCM) basis in valuing inventories;Product;Cost;Market;A;\$57,000;\$60,000;B;40,000;38,000;C;80,000;81,000;If Jenks applies the LCM basis, the value of the inventory reported on the balance sheet would be;\$181,000.;\$175,000.;\$177,000.;\$179,000.;2. Olympus Climbers Company has the following inventory data;July 1;Beginning inventory;20 units at \$19;\$380;7;Purchases;70 units at \$20;1,400;22;Purchases;10 units at \$22;220;\$2,000;A physical count of merchandise inventory on July 30 reveals that there are 32 units on hand. Using the FIFO inventory method, the amount allocated to cost of goods sold for July is;\$660.;\$1,380.;\$620.;\$1,340.;3. Pop-up Party Favors Inc has the following inventory data;July 1;Beginning inventory;20 units at \$19;\$380;7;Purchases;70 units at \$20;1,400;22;Purchases;10 units at \$22;220;\$2,000;A physical count of merchandise inventory on July 30 reveals that there are 32 units on hand. Using the FIFO inventory method, the amount allocated to ending inventory for July is;\$660.;\$704.;\$620.;\$640.;4. Quiet Phones Company has the following inventory data;July 1;Beginning inventory;20 units at \$19;\$380;7;Purchases;70 units at \$20;1,400;22;Purchases;10 units at \$22;220;\$2,000;A physical count of merchandise inventory on July 30 reveals that there are 32 units on hand. Using the LIFO inventory method, the amount allocated to cost of goods sold for July is;\$660.;\$1,380.;\$620.;\$1,340.;5. Radical Radials Company has the following inventory data;July 1;Beginning inventory;20 units at \$19;\$380;7;Purchases;70 units at \$20;1,400;22;Purchases;10 units at \$22;220;\$2,000;A physical count of merchandise inventory on July 30 reveals that there are 32 units on hand. Using the LIFO inventory method, the amount allocated to ending inventory for July is;\$608.;\$640.;\$620.;\$704

Paper#35106 | Written in 18-Jul-2015

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