Match the Term to the Appropriate Definition

question 31

Multiple Choice

Match the term to the appropriate definition.There are more definitions than terms.
-Inventory Turnover

• A)Inventory costing method that uses the weighted average unit cost of the goods available for sale for both cost of goods sold and ending inventory.
• B)The inventory that starts the manufacturing process.
• C)Inventory costing method that assumes that the costs of the last goods purchased are the costs of the first goods sold.
• D)Beginning Inventory + Purchases - Ending Inventory
• E)Inventory costing method that identifies the cost of the specific item that was sold.
• F)A valuation rule that requires Inventory to be written down when its market value falls below its cost.
• G)Goods that are held for sale in the normal course of business or are used to produce other goods for sale.
• H)The difference between net sales and cost of goods sold.
• I)Inventory that was in process and now is completed and ready for sale.
• J)Beginning Inventory + Purchases - Cost of Goods Sold
• K)Requires that if LIFO is used on the income tax return,it also must be used in financial statement reporting.
• L)Goods that are in the process of being manufactured.
• M)The expense that follows directly after Net Sales on a multiple step income statement.
• N)Consists of products acquired in a finished condition,ready for sale without further processing.
• O)Inventory costing method that assumes that the costs of the first goods purchased are the costs of the first goods sold.
• P)A measure of the average number of days from the time inventory is bought to the time it is sold.
• Q)Inventory items being transported.
• R)Goods a company is holding on behalf of the goods' owner.
• S)How many times (on average)that inventory has been bought or sold.

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Definitions:

Timber

Wood that has been processed into beams and planks, a stage in the process of wood production.

Minerals

Natural inorganic substances occurring in the earth that have a definite chemical composition and physical properties.

Article 2A

pertains to leases of personal property under the Uniform Commercial Code, governing transactions such as rent-to-own agreements.

Personal Property

Movable assets owned by individuals or entities, in contrast to real property like land or buildings.