Chess Top Uses the Periodic Inventory System

question 24

Multiple Choice

Chess Top uses the periodic inventory system.For the current month, the beginning inventory consisted of 200 units that cost $65 each.During the month, the company made two purchases: 300 units at $68 each and 150 units at $70 each.Chess Top also sold 500 units during the month.Using the average cost method, what is the amount of ending inventory?

• A)$10,500.
• B)$33,770.
• C)$33,400.
• D)$10,131.

Recognize the role of human capital and its impact on earning potential.

Identify factors contributing to differences in compensation, including compensating differentials and human capital investment.

Evaluate the impact of technology and education on income inequality.

Understand the sources of household wealth and income.

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Definitions:

Market

An economic system that allows buyers and sellers to exchange goods and services, determining prices through the laws of supply and demand.

Deadweight Loss

signifies a loss of economic efficiency that can occur when the equilibrium for a good or a service is not achieved or is not achievable.

Purely Competitive

A purely competitive market is one in which there are many buyers and sellers, all trading homogeneous products, with no single entity able to control the market price.

Market

A virtual or physical place where buyers and sellers come together to trade goods, services, or financial instruments.