Health Defense Sells First Aid Kits and Uses the Periodic

question 11

Multiple Choice

Health Defense sells first aid kits and uses the periodic inventory system to account for its merchandise.The beginning balance of the inventory and its transactions during January were as follows: January 1: Beginning balance of 18 units at $13 each
January 12: Purchased 30 units at $14 each
January 19: Sold 24 units at a selling price of $30 each
January 20: Purchased 24 units at $17 each
January 27: Sold 27 units at a selling price of $30 each
If the ending inventory is reported at $357,what inventory method was used?

• A)LIFO.
• B)FIFO.
• C)Weighted average.
• D)Specific identification.
• E)Retail inventory method.

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Definitions:

Fixed Rate Coupon

A bond feature that pays the holder a fixed interest rate over the life of the bond, leading to predictable interest income.

Common Shares

Equity securities that represent ownership interest in a company, giving shareholders voting rights and a share in the company's profits through dividends.

Predetermined Period

A predetermined period refers to a specific span of time that has been set in advance for a particular purpose or event.

Income Bonds

Bonds that pay interest only when the issuer has earned sufficient profits.