On the Balance Sheet,inventories Are Reported As

question 69

Multiple Choice

On the balance sheet,inventories are reported as:

• A)a liability,because goods in inventory are tying up a company's money without earning income.
• B)an asset,because goods in inventories are owned by the company.
• C)an expense,because goods in inventory have been paid for but not yet sold.
• D)a revenue,because goods in inventory will be sold in the future.

---

Definitions:

International Rules

Regulations, standards, or guidelines that govern relations or activities between different countries, such as trade, maritime law, or diplomatic relations.

Customs Duties

Customs duties are taxes imposed on the importation and sometimes the exportation of goods, designed to regulate international trade and raise government revenue.

Customs Tariff Act

Legislation that sets the tariffs and duties imposed on goods that are imported or exported.

Customs Act

Legislation that governs the importation and exportation of goods in and out of a country.