On June 1,Delaware Co

question 103

Short Answer

On June 1,Delaware Co.had one unit in beginning inventory that cost $10.00.During June,Delaware paid cash to purchase two additional inventory items.Delaware purchased the first item for cash at a cost of $10.00,and the second at a cost of $12.00.Delaware Co.sold two inventory items for $24.00 each,receiving cash.Based on this information alone,indicate whether each of the following items is true or false.
_____ a)The amount of ending inventory will be $10 assuming the LIFO cost flow was used.
_____ b)Cost of goods sold would be $24 assuming the weighted average cost flow was used.
_____ c)Cash flow from operating activities in June would be $28 assuming a FIFO cost flow was used.
_____ d)Cash flow from operating activities in June would be $26 independent of what cost flow assumption was used.
_____ e)The amount of gross margin would be $26 assuming the FIFO cost flow was used.

Recognize the role of bias and evidence in intuitive judgments.

Understand the principles of calculating the probability of independent and dependent events occurring.

Grasp the concept of mutually exclusive vs compatible events and their impact on probability calculations.

Distinguish between the methods to calculate the probability of disjunctions and conjunctions in multiple events.