The Following Information Was Derived from the 2007 Accounting Records

question 2

Multiple Choice

The following information was derived from the 2007 accounting records of Logan Co.: $\begin{array}{lrr}&& \text {Logan's Goods }\\& \text { Logan 's Central Warehouse}& \text {Held by Consignees }\\\text { Beginning inventory } & \$ 130,000 & \$ 14,000 \\\text { Purchases } & 575,000 & 70,000 \\\text { Freight-in } & 10,000 &\\\text { Transportation to consignees } & & 5,000 \\\text { Freight-out } & 30,000 & 8,000 \\\text { Ending inventory } & 145,000 & 20,000\end{array}$ Logan 's 2007 cost of sales was

• A)$570,000.
• B)$600,000.
• C)$634,000.
• D)$639,000.

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Definitions:

Frederick Herzberg

A psychologist best known for developing the Motivator-Hygiene Theory, which distinguishes between factors that create job satisfaction and those that prevent dissatisfaction.

Two-Factor Theory

A psychological theory proposed by Herzberg that suggests employee satisfaction and dissatisfaction are influenced by two separate sets of factors: motivators and hygiene factors.

Personal Rewards

Benefits or compensations received by an individual as a result of their actions or achievements, which can be intrinsic or extrinsic.

Status

The relative rank, prestige, or social standing of an individual or group within a society or organizational hierarchy.