Madison,Inc The Company Maintains Its Records of Inventory on a Perpetual

question 13

Multiple Choice

Madison,Inc.had the following balances and transactions during 2017. $$\begin{array} { | l | l | } \hline \text { Beginning Inventory } & 40 \text { units at } \$ 72 \\\hline \text { June 10 } & \text { Purchased } 120 \text { units at } \$ 76 \\\hline \text { December 30 } & \text { Sold } 113 \text { units } \\\hline \text { December 31 } & \text { Replacement cost } \$ 79 \\\hline\end{array}$$ The company maintains its records of inventory on a perpetual basis using the last-in,first-out inventory costing method.Calculate the amount of ending Merchandise Inventory at December 31,2017 using the lower-of-cost-or-market rule.(Round any intermediate calculations two decimal places,and your final answer to the nearest dollar. )

• A)$2,880
• B)$3,412
• C)$3,713
• D)$3,572

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Definitions:

Variable Ratio

In the context of behavioral psychology, it's a reinforcement schedule where a response is reinforced after an unpredictable number of responses, often used in gambling and sales strategies.

Fixed-Interval Reinforcement

is a schedule of reinforcement where a response is rewarded only after a specified amount of time has elapsed, resulting in a pattern of behavior that increases as the time for the next reward draws near.

Advertising Wearout

The phenomenon where repeated exposure to an advertisement leads to decreased consumer attention and diminished effectiveness.

Stimulus Discrimination

the ability to differentiate between similar stimuli and respond differently based on their distinct features.