Campbell County Uses the Consumption Method to Record All Inventories

question 21

Multiple Choice

Campbell County uses the consumption method to record all inventories and prepayments.The City has a 9/30 fiscal year-end.On April 1, 2000, the County purchased a two-year insurance policy at a total cost of $400,000, paying for the policy out of the General Fund.On the General Fund financial statements, the amount of insurance expenditures for the fiscal year ended 9/30/00 would be

• A)$400,000.
• B)$300,000.
• C)$200,000.
• D)$100,000.

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Definitions:

Microprocessor

A microprocessor is an integrated circuit designed to perform calculations and execute various logic tasks as the central processing unit (CPU) in computers and other digital devices.

Sample

A portion of the population selected to represent the entire group, used for analytical or statistical purposes.

Production Line

A manufacturing process where parts or components are added successively in a specific sequence to create a finished product efficiently.

Significance Level

The probability of rejecting the null hypothesis in a statistical test when it is actually true, often denoted by alpha.