Which of the ff needs an adjustment to the A/R account of ABS company? a. goods in transit of the reporting date, shipped to a customer fob destination, not recorded as sales and correctly included as inventory b. goods in transit as of the reporting date, shipped to a customer fob shipping point, correctly recorded as sales but was included as inventory c. goods in transit as of the reporting date, shipped to a customer fob shipping point, correctly recorded as sales and was excluded from inventory d. goods in transit of the reporting date, shipped to a customer fob destination, recorded as sales however correctly included as inventory

Q: O A. there is no need to take a physical count of inventory O B. beginning Merchandise Inventory,…

A: Answer:- B. beginning Merchandise Inventory, Purchases, and Freight In accounts are closed via the…

Q: Which of the following should be included in the physical inventory of a company? O A. Goods held on…

A: Solution: "Goods in transit from another company shipped FOB shipping point" should be included in…

Q: Peosta Company identifies the following items for possible inclusion in the taking of a physical…

A: Ans  a)Goods are shipped by Peosta to another company Excluded from inventory taking since such…

Q: For each of the following, indicate whether it would be reported on the balance sheet (B/S),reported…

A: A balance sheet is a financial statement which reports the closing balances of  Assets, Liabilities…

Q: What is the effect on net income if a company failed ro record a purchase in transit (FOB shipping…

A: Purchase in transit (FOB shipping point) means that where buyer become the owner of the goods at the…

Q: Which of the following statements is correct? Group of answer choices A)Revenue is recognized at the…

A: A)Revenue is recognized at the time of shipment when goods are shipped FOB destination-The given…

Q: Indicate whether the following statements are true or false. 1. A merchandising company reports…

A: 1) This statement is True. As Service Based Companies do not sell the products so there Income…

Q: If the net realizable of an entity's inventories is less than its cost, the entry to adjust the…

A: Introduction: Under the lower of cost or net realizable value (LCNRV) method, if net selling price…

Q: Which of the following accounts is used in the periodic inventory system but not used in the…

A: Periodic inventory system:   A periodic inventory system is one of the forms of inventory valuation.…

Q: Which of the following transactions would not result in an adjustment to the inventory account under…

A: Sale of merchandise on cash and credit and merchandise return all includes inventory account but…

Q: Which of the following needs an adjustment to the accounts receivable account of ABC Company? a.…

A: Accounts receivable are created by an organisation when it records sales on credit. The accounts…

Q: Listed below are several terms and phrases associated with inventory measurement. Pair each item…

A: FIFO : First-in-first-out LIFO : Last-in-first-out Gross method : The sales / purchases are recorded…

Q: At the end of the accounting period, the correct entry in the general journal to adjust for…

A: Inventory: Inventory refers to the stock of goods purchased, utilized and maintained by the company…

Q: T, F. Common inventory classification for a manufacturing company is: raw materials,…

A: The inventory valuation method used to evaluate the closing inventory and cost of goods sold on the…

Q: Q2: Match the items below by entering the appropriate code letter in the space provided. А.…

A: A monetary exchange for a good or service is referred to as a transaction. Regardless of when…

Q: When preparing a worksheet for a merchandising company using periodic inventory system, which…

A: 1. The income statement contains all temporary accounts and the balance sheet contains all the…

Q: Which of the following accounts will not be found in the cost of merchandise sold section of the…

A: Income statement: The income statement is a financial statement that shows the net income earned or…

Q: Which one of the following statements is not true? a. A company using the periodic system does not…

A: At the end of the period, there is still a need to match the inventory value with the physical…

Q: What is the effect on net income if a company fails to record a purchase in transit (FOB shipping…

A: Accounting for inventory Inventory is all type of goods and products held by the seller to sell in…

Q: (True or false) Under the perpetual inventory system, on a work sheet, cost of sales will be shown…

A: Cost of Sales - Cost of Sales is the cost incurred by the company to earn sales for the…

Q: Which method tracks the actual physical flow of goods and each item of inventory is marked, tagged,…

A: The correct option in no. 1 question is d. Specific identification method

Q: Requirement a. What are the accounting requirements for a correct sales​ cutoff?     A. A shipment…

A: Revenue shall be recognition according to accounting standards. Following is the condition to…

Q: Which of the following methods is appropriate for a business whose inventory consists of a…

A: Note: Since we are entitled to answer only one question, we’ll answer the first question. Please…

Q: Purchased inventory received is added to the inventory records after all of the following are…

A: THE PURCHASER OR BUYER OF INVENTORY WILL RECONCILE PURCHASE ORDER MADE , INVOICE ISSUED BY VENDOR…

Q: Detailed records of goods held for resale are maintained under a a. perpetual inventory system. b.…

A: Goods available for sale are known as inventory.it is held by the business entity in their stores…

Q: ABC Company would like to know which of the following statements is correct? a.In a merchandising…

A: Solution: When company is using perpetual inventory system, purchase discount given by supplier will…

Q: Which of the following functions is not included in the typical expenditure cycle involving goods?…

A: Expenditure cycle refers to specific period related to acquisition of and payment of goods and…

Q: Which of the following items should be included in a company's inventory at the balance sheet date?…

A: Inventory is the current asset which is being held by the entity for the purpose of sale.

Q: Which of the following would not be reported as inventory? A. Goods out on consignment B. Goods in…

A: Hi student Since there are multiple question, we will answer only first question.

Q: following is accounted for prospectively? Change in reporting entity. Change in…

A: A change in an estimate is accounted for prospectively.

Q: Which of the following statement is FALSE for Merchandise inventory of the Business? a. It is a…

A: Merchandise inventory is classified as a current asset on the balance sheet. Assets normally have a…

Q: Merchandise inventory at the end of the year was understated. Which of the following statements…

A: Merchandise inventory at the end of the year refers to the value of inventory that is available for…

Q: Shipments of inventory to the branch may be billed at other than cost. When billing prices are above…

A: Introduction:- Branch Accounting is the different type of bookkeeping or accounting.…

Q: When a company uses LIFO for external reporting purposes FIFO for internal reporting pusposes, an…

A: LIFO reserve: LIFO reserve refers to the difference in the value of inventory, between the goods…

Q: ccount used under periodic system to record returns of purchased goods to the suppl

A: Solution: Under periodic inventory system, inventory records for each purchase and sale are not…

Q: What is the reason for the understatement of the net income reported by the branch in its separate…

A: Solution Cost of good sold is the cost acquiring or manufacturing the product that a company sells…

Q: The accountant for the Fred Company did not record a purchase of merchandise on credit or include…

A: The question is multiple choice question. Required  Choose the Correct Option.

Q: ears in both the debit and the credit columns appears in the credit column only is correct as stated…

A: Merchandise inventory is the value of items in stock, whether they are finished goods or raw…

Q: Indicate the best answer(s) for each question: Which of the following statements about perpetual…

A: Under perpetual inventory system, the inventory record is maintained with every sale and purchase.

Q: lizable value. Required: For each item, (a)-(d), prepare the journal entry to correct the balances…

A: Rectifying journal entries are passed in order to record something which was left to be recorded…

Q: Match each definition with the term that best describes it. An income measure that includes gains…

A: Income statement: The income statement determines the net income of the business by subtracting the…

Inventory Accounting

Inventory accounting is that branch of accounting that helps in determining the specific value of assets at different stages of production and development.