Addison,Inc

question 124

Multiple Choice

Addison,Inc.uses a perpetual inventory system.The following is information about one inventory item for the month of September:

If Addison uses FIFO,the cost of the ending merchandise inventory on September 30 is

• A)$800
• B)$650
• C)$750
• D)$700

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Definitions:

Total Liabilities

The aggregate of all debts and financial obligations owed by a company to external entities at any point in time.

Owner's Equity

The residual interest in the assets of a business after deducting its liabilities, representing the owner's claim against the company's assets.

Total Assets

The sum of all assets owned by a company, including current, non-current, tangible, and intangible assets, reflected on the balance sheet.

Period Of Time

A period of time is a specified duration or a length of time during which events, processes, or conditions occur or continue.