Table 13-1 -In Table 13-1,suppose That $20,000 in New Deposits Is Received

question 89

Multiple Choice

Table 13-1

-In Table 13-1,suppose that $20,000 in new deposits is received by the bank.If there were no other changes in the balance sheet,then the bank would be in a position to make new loans in the amount of

• A)$17,000.
• B)$15,000.
• C)$21,000.
• D)$8,000.

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Definitions:

Last-In, First-Out

An inventory valuation method where the costs of the most recently produced or purchased items are the first to be expensed.

Receiving Report

A document used to record the receipt of goods from a supplier, noting quantities and condition of the items received.

Retail Inventory Method

The retail inventory method is an accounting practice that estimates the ending inventory balance of a retailer by using the cost to retail price ratio.

Physical Count

The process of manually counting inventory items to verify quantities and ensure the accuracy of records.