accounting test three

Question 1

fifo equation

Answer 1

Cost of Goods Sold (COGS) = Number of Units Sold x Cost of Oldest Inventory

Question 2

What are cost of goods solds

Answer 2

beginning inventory plus purchases= goods avaiable for sale

SOLD-cost of goods sold income statement

Question 3

cogs equation

Answer 3

you can subtract the ending inventory from the sum of the beginning inventory and purchases

Question 4

lifo

Answer 4

last in first out

Question 5

fifo

Answer 5

first in first out

Question 6

lifo equation

Answer 6

COGS = (The Number of Newest Units x Their Value) + (Remaining Units From the Second Purchase x Their Value)

Question 7

The primary goals of inventory managers are to:

Answer 7

Maintain a sufficient quantity of inventory to meet customers’ needs
2. Ensure quality meets customers’. expectations and company standards
3. Minimize the cost of acquiring and carrying the inventory

Question 8

What are cost of goods inventory

Answer 8

beginning inventory plus purchases= goods available for sale
STILL AVALIABLE- inventory
balance sheet

Question 9

Weighted Average

Answer 9

average of all three (or other # amount) dates divided by three

Question 10

Weighted Average equation

Answer 10

Weighted Average= Cost of Goods Available for Sale / Total Units Available for Sale