A Foreign Subsidiary Uses the First-In First-Out Inventory Method

question 18

Multiple Choice

A foreign subsidiary uses the first-in first-out inventory method. The following inventory balances are given at December 31, 2021 in local currency units (LCU) : The following exchange rates are given for 2021: Compute the December 31, 2021, inventory balance using the lower of cost or net realizable value method under the temporal method.

• A) $321,000.
• B) $457,600.
• C) $596,400.
• D) $454,400.
• E) $419,000.

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Definitions:

Observational Learning

A learning process through watching the behaviors of others and the outcomes of those behaviors.

Direct Experience

Personal involvement or encounter with an event or environment, serving as a powerful method for learning.

Variable-interval Schedule

A reinforcement schedule in operant conditioning where a response is rewarded after an unpredictable amount of time has passed.

Fixed-ratio Schedule

A reinforcement strategy in operant conditioning where a response is rewarded only after a specified number of correct responses.