Swing Ltd Uses FIFO for Its Inventory, Which Is Valued

question 5

Multiple Choice

Swing Ltd uses FIFO for its inventory, which is valued at $21 000. It is considering a change to moving weighted average, which would change the valuation of inventory to $22 500. Which of the following would be decreased by the change?

• A) Cost of goods sold
• B) Sales
• C) Liabilities
• D) Retained profits

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Definitions:

Conservation

The protection, preservation, management, or restoration of natural environments and the ecological communities that inhabit them.

Abstractly

Related to thinking about concepts and ideas that are not physically present.

Theory of Mind

The cognitive ability to attribute mental states—beliefs, intents, desires, emotions—to oneself and others and to understand that others have beliefs and perspectives different from one's own.

Egocentrism

A cognitive trait characterized by difficulty in understanding or acknowledging viewpoints different from one's own.