The Tendency to Mentally Complete Forms and Figures That Are

question 80

Multiple Choice

The tendency to mentally complete forms and figures that are actually incomplete is known as

• A) contouring.
• B) similarity.
• C) closure.
• D) convergence.

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Definitions:

Beginning Work In Process

The inventory of partially completed goods at the start of an accounting period.

Inventory Formula

The equation used to calculate the value of a company's inventory, commonly stated as Beginning Inventory + Purchases - Cost of Goods Sold = Ending Inventory.

Physical Flow

The actual movement of goods or materials through a manufacturing process, from receipt of raw materials to delivery of finished products.

Weighted Average Method

An inventory valuation method that applies a weighted average cost to the goods available for sale, to calculate cost of goods sold and ending inventory.