Assume That the Total Inventory Counted at the End of the Year

question 272

Multiple Choice

Assume that the total inventory counted at the end of the year was $75,000. Excluded from the count were purchases of $5,000 in transit under FOB destination terms. What is the cost of inventory reported on the balance sheet?

• A) $60,000
• B) $70,000
• C) $75,000
• D) $80,000

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Definitions:

Upward Communication

The process by which information or feedback is communicated from lower levels of an organization to its higher levels, often involving feedback or reports from employees to management.

Downward Communication

The flow of information from higher levels of management to subordinate levels within an organization.

360-degree Feedback

A feedback process where employees receive confidential, anonymous feedback from the people who work around them, including peers, managers, and direct reports.

Performance Appraisal

Performance appraisal is a systematic evaluation process by which an employee's job performance is assessed, typically involving an analysis of various aspects of work behavior and outcomes, aimed at informing decisions related to promotions, pay, and development.