Flynn Company Uses a Perpetual Inventory System and Reported $500,000

question 145

Multiple Choice

Flynn Company uses a perpetual inventory system and reported $500,000 of inventory at the beginning of the month based on a physical count of inventory.During the month,the company bought $45,000 of inventory and sold inventory that had cost $30,000.At the end of the month,the physical count of inventory shows $510,000 on hand.How much shrinkage occurred during the month?

• A) $35,000
• B) $25,000
• C) $5,000
• D) $10,000

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Definitions:

Exposure Therapies

Therapeutic techniques that involve confronting fears or traumas directly to reduce their psychological impact.

Trauma-Related Disorders

Psychological disorders that are directly linked to the experience of traumatic events, such as PTSD (Post-Traumatic Stress Disorder).

Alternative Therapies

Various treatment approaches that fall outside mainstream or conventional medicine, often including practices like acupuncture, herbal medicine, and meditation.

Medication Therapies

Treatments involving the use of drugs or pharmaceuticals to manage or cure diseases, conditions, or symptoms.