On December 31,20A,the End of the Accounting Period,Dunn Company Has

question 99

Multiple Choice

On December 31,20A,the end of the accounting period,Dunn Company has on hand 5,000 units of a resale item which cost $21 per unit when purchased on June 15,20A.The selling price is $35 per unit.On November 30,20A,the quoted purchase cost of this item was $22 per unit; whereas on December 30,20A,the cost had dropped to $20 per unit.In view of the large quantity of units on hand,no purchases are anticipated in the next six to nine months.At what inventory amount should the 5,000 units be reported?

• A)$100,000
• B)$105,000
• C)$110,000
• D)$175,000

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Definitions:

Reciprocal Determinism

A theory proposed by Albert Bandura that suggests an individual's behavior, personal factors, and environmental factors are mutually influencing each other.

Psychodynamic

A psychological perspective that emphasizes the complex interplay of internal urges and conflicts in shaping behavior and personality.

Social-cognitive

pertaining to the use of cognitive processes in understanding social interactions, including the assimilation of social norms and the understanding of other individuals' behaviors.

Reciprocal Determinism

A concept in psychology suggesting that an individual's behavior is both influenced by and influences their personal factors and the environment.