Williams Company Had the Following Balances and Transactions During 2014

question 134

Multiple Choice

Williams Company had the following balances and transactions during 2014. Williams maintains its records of inventory on a perpetual basis using the last-in, first-out method. Calculate the amount of ending Merchandise Inventory at December 31, 2014 using the lower-of-cost-or-market rule.

• A)$1,200
• B)$1,360
• C)$1,020
• D)$2,040

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Definitions:

Concrete Operational

A stage in Piaget's theory of cognitive development, occurring from about 7 to 12 years of age, where children gain the ability to think logically about concrete events.

Formal Operational

The stage in Piaget's theory of cognitive development where individuals are able to think abstractly, logically, and systematically.

Preoperational

A stage in Jean Piaget's theory of cognitive development, where children from 2 to 7 years old develop memory and imagination, but do not yet think logically.

Nurture

The influence of external factors like environment, education, and social experiences on the development of an individual.