Sanchez Company Engaged in the Following Transactions During Year 1:1)Started

question 78

Multiple Choice

Sanchez Company engaged in the following transactions during Year 1:1) Started the business by issuing $42,000 of common stock for cash.2) The company paid cash to purchase $26,400 of inventory.3) The company sold inventory that cost $16,000 for $30,600 cash.4) Operating expenses incurred and paid during the year, $14,000.Sanchez Company engaged in the following transactions during Year 2:1) The company paid cash to purchase $35,200 of inventory.2) The company sold inventory that cost $32,800 for $57,000 cash.3) Operating expenses incurred and paid during the year, $18,000.Note: Sanchez uses the perpetual inventory system. What is the amount of inventory that will be shown on the balance sheet at December 31, Year 2?

• A)$2,400
• B)$12,800
• C)$61,600
• D)$28,800

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Definitions:

Hopelessness

A feeling or state of despair when an individual believes there are no solutions to their problems or situation.

Rational Emotive Therapy

A form of psychotherapy created by Albert Ellis, focusing on identifying and changing irrational beliefs that lead to emotional and behavioral issues.

Nondirective Therapy

Any type of psychotherapy in which the therapist allows the direction of the therapy sessions to be controlled by the client; an example is person-centered therapy.

Rational Emotive Therapy

A form of cognitive-behavioral therapy focusing on changing irrational beliefs and cognitive processes that lead to emotional and behavioral issues.