The Two Types of Statements in QuickBooks Are

question 16

Multiple Choice

The two types of statements in QuickBooks are:

• A)Open Transaction and Closed Transaction
• B)Open Transaction and Activity Based
• C)Open Transaction and Limited Transaction
• D)Customer Based and Confidential

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Definitions:

Net Realizable Value

Net Realizable Value is the estimated selling price of goods, minus the estimated costs of completion and necessary selling costs, used for inventory valuation and accounts receivable.

Inventory

The merchandise and supplies a company maintains with the end purpose of selling or manufacturing.

Periodic Inventory System

A method of inventory management where inventory levels and cost of goods sold are updated in the accounting records on a periodic basis, such as monthly or annually.

FIFO Cost Method

An inventory valuation method that assumes goods are sold in the order they were acquired, using the costs of the earliest items first.